Transit Holdings Ltd (ASX:TRH) acquires 75% of the Paradox Basin Potash Project

Company News

Iron ore and gold miner Transit Holdings Ltd (ASX:TRH) has earned a 75% interest in the Paradox Basin Potash Project in Utah in the US.

The Project is located close to the key agricultural regions of the US, with Transit saying it is ideally situated to supply fertilizer manufacturers and agricultural cooperatives in the western and south-western United States.

Transit says with its joint venture partner in the project, K2O Utah LLC, the company is planning the program and budget for the projects pre-feasibility study after recently completing a positive scoping study on the project.

The company says once the program and budget has been presented Transit’s joint venture partner will have the option to participate or dilute its position in the venture giving Transit the opportunity to increase its interest to 90% by spending a further US$1.4 million.

Transit Holdings reported a loss for the 2009 financial year.