ENCANTO POTASH CORP. ANNOUNCES $5,500,000 PRIVATE PLACEMENT OFFERING OF UNITS
AND FLOW-THROUGH SHARES

/NOT FOR DISTRIBUTION TO A US NEWSWIRE SERVICE OR FOR DISSEMINATION IN THE UNITED STATES/

Trading Symbol: TSXV EPO.V

VANCOUVER, Nov. 29 /CNW/ - Encanto Potash Corp. ("Encanto" or the "Company") is pleased to announce that it has entered into an agreement with Primary Capital Inc., and Industrial Alliance Securities Inc. (the "Agents"), to act as co-lead agents on a best-efforts basis, for a brokered private placement offering (the "Offering") of  up to 12,500,000 in units at $.40 per unit (the "Units"), and up to 1,000,000 common shares to be issued on a "flow-through" basis at $.50 per common share (the "Flow-through Shares") for aggregate gross proceeds to the Company of $5,500,000.

Each Unit will consist of one common share and one common share purchase warrant. Each common share purchase warrant will entitle the holder thereof to acquire one common share of the Company at a price of $0.60 for a period of 18 months from the date of closing of the Offering.

The proceeds from the financings will be used by the Company for completion of a pre-feasibility study on the Muskowekwan property and the Company's ongoing exploration programs on its other properties in the Province of Saskatchewan and for general working capital purposes.

In connection with the Offering, a cash commission of 6.0% of the aggregate gross proceeds arising therefrom will be paid to the Agents. In addition, upon closing of the Offering the Agents will receive broker warrants, equal to 6.0% of the number of Units issued in connection with the Offering. The broker warrants will be exercisable at $0.60 per warrant into common shares of the Company at any time up to 18 months from the date of closing.  

All securities issued in connection with the Offering will be subject to a hold period of four months from the date of closing. The Offering is subject to the approval of the TSX Venture Exchange.

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 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 RELEASE.

For further information:

James Walchuck					Fred Leigh
President and CEO					Vanguard Shareholder Solutions
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