Encanto Potash Corp. announces engagement of North Rim Exploration Ltd.

Trading Symbol: TSXV EPO.V

VANCOUVER, July 29 /CNW/ - Encanto Potash Corp. ("Encanto" or the "Company") is pleased to announce the engagement of North Rim Exploration Ltd. ("North Rim"), of Saskatoon, Saskatchewan for the purpose of reviewing drill hole and seismic data and calculating an anticipated potash resource on the Company's potash project located in the Prairie Evaporite Basin of Saskatchewan, Canada.

North Rim's area of expertise is subsurface geology, which includes the examination of geophysical date in order to create an integrated geological and/or resource interpretation. Since 1984 North Rim has been in the business of providing expertise to mining companies for design and management of drilling programs including the technical support and due diligence required in order to advance strategic exploration projects through to the development stage. To date North Rim has been engaged to work on more than 100 potash and evaporate projects.

Encanto is currently preparing a report summarizing the results of the recent drilling campaign as well as the 3D seismic programs received to date. The report is expected to be completed by mid-August. Compilation of these 3D results has taken longer than anticipated, primarily due to permitting issues which delayed shooting until winter, one of the harshest ever recorded, which resulted in shooting seismic well into spring break-up.

Encanto anticipates that with North Rim's input, additional drill hole locations will be determined by mid-August. The Company will then apply for drill permits and anticipates the commencement of drilling in early September. Encanto plans to simultaneously use two drills to accelerate the drill program. Each hole will take approximately three weeks to drill with potential assays expected approximately two weeks after completion of the drill program. A resource calculation is then expected for late November.

President and CEO James Walchuck commented "This stage of the Company's exploration activities will provide management with the information required to advance our Muskowekwan potash property significantly over the next few months. The anticipated Q4 resource calculation for Muskowekwan is still on schedule."

About Encanto:

Encanto Potash Corp. is a TSX Venture Exchange-listed Canadian resource company engaged in the exploration and development of potash properties in the Province of Saskatchewan, Canada, the largest producing region for potash in the world.

For additional information about Encanto Potash Corp., please visit the Company's website at www.encantopotash.com or review the Company's documents filed on www.sedar.com.

    
    ON BEHALF OF THE BOARD OF DIRECTORS

           "James Walchuck"
    Per: --------------------

    James Walchuck
    President and CEO
    

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE

The foregoing information may contain forward-looking information relating to the future performance of the Company. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the mining industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the mining industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.

For further information: James Walchuck, President and CEO, Tel: [phone]; Brian Martin, Vanguard Shareholder Solutions, Tel: [phone], Toll Free: 1-866-918-0824