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| Name: Cassidy Lake (Clover Hill, Salt Springs) Potash |
Reference #: 1116 |
| Commodity: Potash |
Additional Commodity Info: Salt |
| Status: Past production |
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| NTS: 21H/12 |
Coordinate System: Datum NAD 83(CSRS) |
| Latitude: 45°33'53" |
Longitude: -65°36'18" |
| County: Kings |
Location Precision: High (precise location, measured using GPS) |
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| Group/Pluton: Windsor |
Formation: Cassidy Lake |
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Description: Following the discovery and successful negotiations surrounding an exploration and development agreement with the Potash Company of America at the Penobsquis-Plumweseep potash/salt deposit in 1971, another government-sponsored drilling program was initiated in 1973 to test the potash potential in other areas of southeastern New Brunswick. One of the holes drilled on a gravity anomaly near Salt Springs intersected 15.6 m of potash mineralization at a depth of 610 m averaging 31.6% K2O.
Success at Salt Springs prompted government officials to assemble relevant geotechnical data on the discovery and invite submissions from companies interested in further exploring and developing a pre-selected 200 km2 salt/potash reservation area in 1974. International Minerals & Chemical Corporation (Canada) Limited (IMC) emerging as the successful applicant in the fall of 1975. IMC's exploration program, consisting of several geological, geophysical, geochemical investigations along with extensive drilling was initiated almost immediately. Geologic mapping encompassing the salt and potash reservation and surrounding area accompanied by enhanced geophysical surveys including gravity, magnetics and resistivity, assisted in the delineation of a potential resource area and facilitated the positioning of drill holes in the early phases of exploration. Twenty two holes were drilled at an approximate spacing of 800 m. Potash mineralization (sylvinite) with an average ore grade of 28 % K2O and thicknesses ranging from 3.0 m and 42.6 m was intersected at depths greater than 600 m in all but four holes. It was reported that drilling results had defined an estimated 200 000 000 t zone of potash ore underlying 520 hectares.
Following encouraging results from the surface exploration program, IMC prepared a preliminary development plan for the Salt Springs deposit, subsequently signing a mining lease covering 8886 hectares with the Province in 1978. A year later, it was announced that Denison Mines Ltd. had purchased the IMC lease to the Clover Hill property and would pursue an underground exploration program to further evaluate the deposit. Sinking of a 5-m diameter exploration shaft began in September 1979 and was completed in May 1982 at a bottom depth of 832 m. From the 794-m shaft level a detailed exploration program consisting of over 3 km of excavated headings and in excess of 800 m of diamond drilling (Waugh and Urquhart 1983) was undertaken. This work indicated an ore body larger than the original estimate based on the surface drilling program. Altogether, proven, probable and possible ore reserves averaging 28% K2O were augmented to exceed 230 000 000 t.
In 1980, during the underground exploration phase, Denison assigned a 40% interest in the Clover Hill property to the Potash Company of Canada Limited (Potacan), an equally owned subsidiary company of Entreprise Minière et Chimique (EMC) of France and Kali und Salz A.G. (K+S) of Germany. The deal presented Denison with a doorway to global potash markets and a good fit with EMC's desire to secure supply in view of France’s declining potash industry and K+S’s goal of strengthening its marketing position in potash markets outside Europe. Under the new arrangement called the Denison Potacan Potash Company (DPPC), Denison assumed the role of operations management while Potacan attended to marketing and sales.
Following the surface and underground evaluation of the deposit and exploration expenditures in excess of $26 million, a detailed feasibility study into various technical, financial and marketing aspects for the Clover Hill project was prepared. Based on the results of this study DPPC decided to embark on the construction of a mine, surface processing facility and associated infrastructure in 1983. The new operation was designed to support an annual production capacity of 1 300 000 t of potash product (KCl at 60% K2O) with sufficient defined ore reserves for 33 years. Two and half years after the decision to proceed with development of the property the DPPC mine was brought into production during the summer of 1985 at a cost near $350 000 000. In the fall of that year, the first potash shipment of 12 600 t of granular potash was loaded on a vessel destined for Columbia.
The Clover Hill mine operated for 12 years before a serious inflow of water occurred in the underground workings. Following several unsuccessful attempts to reduce the inflow to manageable levels it was announced that mining operations would be permanently suspended and the mine closed in 1997.
Early in 1998, The Potash Corporation of Saskatchewan Inc. purchased the former Potacan operation. It is now called Potash Corporation of Saskatchewan Inc. (Cassidy Lake Division). Up until 2003, the facility utilized the former mills 1 000 000 t/yr compaction capacity and other related infrastructure to upgrade standard grade product imported from other PCS Saskatchewan-based production facilities to higher value granular material to supply markets in eastern Canada and the United States. At present the former operation's tailings pond and pipeline serves a key function in the disposal of the excess brine resulting from a water inflow from the PCS (NB) mine near Sussex. |
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Analytical Data |
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Percentage |
ppm |
| No Analytical Data Available |
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References |
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Geoscience Publications |
| Author |
Publication Date |
Publication Number |
Title |
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1982 |
MP 82-183 |
Salt Springs (Cassidy Lake) anomaly (21 H/12) |
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1979 |
MP 79-80 |
CASSIDY LAKE AREA, A1 (100%) LINE. |
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1979 |
MP 79-81A & B |
CASSIDY LAKE AREA, A LINE. |
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1975 |
RT 2 |
Request for submissions for the exploration and possible development of a salt-potash prospect, Salt Springs area, Kings County, New Brunswick. (March 1975). |
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1975 |
MP 75-23 |
Salt Springs salt and potash reservation area, Kings County, N.B. (21 H/12E, 21 H/11W). |
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2009 |
IC 2008-4 |
New Brunswick Potash: A Review of Developments and Potential Exploration Alternatives |
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Minerals Reports of Work |
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Claim Holder |
Property Name |
NTS |
Year Submitted |
| No Reports of Work Available |
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