PADCOM Russell McAuley Deposit

Project Overview

• PADCOM is exploring the feasibility of developing a potash deposit – the first in Manitoba.
• Using a sustainable process, the production capacity of the potash mine is estimated to be 250,000 tonnes per year.
• PADCOM engaged GeoVerra to provide surveying support and expertise in navigating the regulatory environment.

Project Background

The Potash and Agri Development Corporation of Manitoba (PADCOM) was formed to advance rural development opportunities in Western Manitoba, specifically to develop a potash mine at the Russell McAuley deposit. Potash refers to several forms of potassium salt used with nitrogen and phosphate as fertilizer to increase crop yields.

As the top producer of potash worldwide, Canada produces over 15 million tonnes per year, primarily in Saskatchewan. The proposed PADCOM development will be the first and only potash mine in Manitoba and uses a sustainable development process with a small environmental footprint, decreased water consumption, and low carbon emissions. The project will provide significant benefits to the Province of Manitoba, including provincial departments, the Municipality of Russell-Binscarth and agencies, local communities, First Nations, and the Manitoba Métis Federation.

PADCOM engaged GeoVerra to provide surveying support and expertise in navigating the regulatory environment.

PADCOM is a locally owned company with a focus to develop Manitoba’s potash with a new economic model; sharing the profit to enable people to start businesses, and investing in quality of life projects, schools and community economic development. This is our first potash mine, and all the regulations and requirements are new to us. GeoVerra, led by Deke Baley, was on call for us 24 hrs per day for 45 days to provide an immediate turnaround of information required by the various governments and agencies. The PADCOM potash mine wouldn’t be where it is today without Deke and the GeoVerra team. They were outstanding in helping us through this process.

– Daymon Guillas, President, Potash and Agri Development Corporation of Manitoba Ltd.

Why GeoVerra

Having helped define the regulations for oil and gas exploration in Manitoba, the experts at GeoVerra were able to leverage their understanding to help navigate the similar regulatory environment of a mining project. Manitoba land is 80 per cent privately owned, and determining who owns what required the team to do a deep dive into legacy online and paper documents at the land title office.

This regulatory expertise also enabled the GeoVerra team to work closely with the PADCOM drilling and reservoir engineers in determining the best trajectory for the first two potash production wells. By avoiding troublesome mineral ownership rights and understanding road allowance easements, the team was able to save costs, minimize royalty issues, and expedite environmental approvals while maximizing pay zone reach.

With offices from British Columbia to Ontario, GeoVerra is one of the largest surveying companies in Canada. This provides a combination of local knowledge with access to a deep bank of resources – people, expertise, and equipment. GeoVerra works with a “one team mindset,” providing all their clients – big or small – with the same level of professionalism, quality of work, and on-time delivery of services.

As a trusted partner, GeoVerra goes beyond an order-taker role by asking the right questions and offering solutions to help clients meet their goals and objectives.

Primary Services

Surveys

• Preliminary mapping of historic potash test wells and proven reserve boundaries for investor presentations and economic analysis.
• Staking of key project locations and processing facility project site for investor tours.
• Legal property boundaries and construction layout surveys for the processing facility.
• Surface surveys for the first two potash production wells.
• Surveys detailing reservoir analysis and orientation for engineered extraction design.

Regulatory Consulting

• Liaised with government agencies on behalf of PADCOM to provide regulatory expertise based on previous experience with oil and gas regulations and potash exploration programs.
• Determined mineral allocation rights through detailed investigation of deeds and abstracts.
• Helped design downhole well trajectory to maximize potash reach and minimize potential mineral ownership rights issues.

Manitobans have a real can-do attitude as demonstrated by PADCOM’s initiative to develop the first potash mine – without provincial or big corporation dollars. We were proud to work alongside them to ensure they met the project objectives and stakeholder requirements. Their success is our success.

Deke Baley, Project Manager, GeoVerra