Karnalyte Resources’ primary objective is to become a leading low-cost producer of high quality potash using our proprietary improvements to a known solution mining process.

Karnalyte plans to produce high quality, low sodium, uniformed size granular potash pellets for the agricultural market. The Company also plans to produce low sodium industrial potash compacted flakes.

Karnalyte Resources owns a 100% interest in Subsurface Permit KP 360A and Subsurface Mineral Lease KLSA-010 located near Wynyard, Saskatchewan, comprising a total of 85,126 acres. The NI 43-101 Proven and Probable Potash (KCl) Reserves are 62.9 million and 92.0 million tonnes, respectively. The Indicated and Inferred Magnesium (MgCl2) Resources are 50 million and 131 million recoverable tonnes, respectively, on 7.5% of the property.

The potash industry currently supplies the North American fertilizer market with a traditional compacted potassium chloride (KCl) that contains impurities including sodium chloride granules. Karnalyte plans to market a potassium chloride with less than 1% sodium chloride in uniform spherical pellets, similar to current Urea and Phosphate products. This allows for the balanced blending of all three products into a high grade fertilizer product.

Carnallitite is a mixture of soluble carnallite, sylvite, halite, and insoluble clay. Water is added to dissolve the Carnallitite. ((KCl + MgCl2+ 6 H2O) + KCl +NaCl +Clay)

Magnesium chloride is produced from carnallite and can be further processed into compound/products such as magnesium oxide (MgO) and magnesium carbonate (MgCO3). Karnalyte Resources plans on producing high grade magnesium chloride and magnesium oxide following future plant construction.

Karnalyte Resources is listed on the Toronto Stock Exchange under the symbol KRN.