Buffalo Potash Corporation (TSXV: BUFF) (OTCQB: BLPTF) is pleased to announce its anticipated roadmap to production by way of its first facility, the Initial Production Module (IPM), at the Company’s flagship Disley property in Saskatchewan (Disley Project), located adjacent to two of Canada’s currently producing potash solution mines, the K+S Bethune Solution Potash Mine and the Mosaic Belle Plaine Solution Potash Mine.
The IPM is the first of three planned solution mining facilities at the Disley Project, with a design capacity of 125,000 tonnes per annum (TPA) of soluble-grade potash, with first production targeted in Q1 2027 and a lower initial CAPEX requirement compared to the full Disley Project build-out. At full build-out – comprising the IPM and two 500,000 TPA mines (Disley East and Disley West) – the Disley Project would be expected to produce up to 1,125,000 TPA of potash, as contemplated in Buffalo’s recently released preliminary economic assessment titled “NI 43-101 Preliminary Economic Assessment Technical Report on the Disley Potash Project, Saskatchewan, Canada” dated May 21, 2026, and effective April 15, 2026 (the PEA), a copy of which is available on the Company’s SEDAR+ profile at www.sedarplus.ca. On a standalone basis, the PEA attributes a payback period of approximately 12 months from the start of IPM production. However, there is no guarantee that the Company will be able to achieve production.
The Company’s production decision for the IPM is not based on a feasibility study of mineral reserves demonstrating economic and technical viability, and such decisions are historically associated with a higher risk of economic and technical failure.
“We just completed a very successful, upsized and oversubscribed non-brokered private placement that gives us significant balance sheet strength to advance the IPM — the foundation for our anticipated larger build-out to 1,125,000 TPA of potash production across the Disley Project,” Mr. Steve Halabura P.Geo., Chief Executive Officer of the Company, commented. “The IPM is intended to do three things for Buffalo: establish early commercial production; generate well data that will support a feasibility study for Disley East and Disley West; and demonstrate our patented Horizontal Line-Drive Mining Method at commercial scale. We anticipate the IPM will produce soluble grade potash that we intend to sell into local markets – including drilling fluid and proximal agricultural applications — which we anticipate will provide an early revenue foundation as we advance toward full commercial scale at Disley. With the drill rig mobilizing to site in July and first production targeted for Q1 2027, the months ahead will be the most active in the Company’s history.”
“We are happy to have reached this stage of development,” Mr. Quinton Hardage P.Eng. & PMP, President and Chief Operating Officer of the Company, commented. “The technical team is now assembled, and it is time to execute on our vision of creating a mining plane that is anticipated to allow Buffalo to only recover the high-grade minerals from the potash deposit, thus greatly simplifying the processing requirements on surface. Our technical team is made up of some of the best service providers in the industry that have unparalleled experience in potash drilling and horizontal well development. We look forward to embarking on the successful creation of a mining plane, something that we think could revolutionize how potash is solution mined in the future.”
The IPM is designed for the Company to establish initial cash-flowing production at lower upfront capital cost, while building the operational and technical foundation for full-scale development. Development of the IPM is anticipated to be broken down into five phases, Source and Disposal, HLD Drilling, Brine Circulation, Site Development, and Surface Processing.
There is no guarantee that the IPM will be completed as presently expected or at all.
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