IC POTASH ANNOUNCES CLOSING OF PRIVATE PLACEMENT TO RAISE $15,000,000

/NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH US NEWSWIRE SERVICES/

TORONTO, Sept. 16 /CNW/ - IC Potash Corp. (TSX-V: ICP) ("ICP" or the "Company") today announced that it has closed its previously announced private placement (the "Private Placement") pursuant to which it has issued an aggregate of 37,500,000 units (the "Units") at $0.40 per Unit to raise aggregate gross proceeds of $15,000,000. Each Unit is comprised of one common share of the Company (a "Common Share") and one-half of one common share purchase warrant, with each whole common share purchase warrant (each, a "Warrant") exercisable to acquire one additional Common Share at an exercise price of $0.65 per share until September 15, 2013.

Pursuant to the Private Placement, Resource Capital Fund V L.P. ("RCF V") purchased 25,000,000 Units as a result of which RCF V is now the largest shareholder of ICP and holds: (i) approximately 25.8% of the issued and outstanding Common Shares on a non-diluted basis; and (ii) approximately 28.6% of the Common Shares on a fully diluted basis.

In connection with the Private Placement, the Company has paid fees in the aggregate amount of $227,800 to finders assisting in the Private Placement, including Clarus Securities Inc., Cormark Securities Inc., Mackie Research Capital Corporation, National Bank Financial Inc. and Wellington West Capital Markets Inc. All securities issued in connection with the Private Placement are subject to a statutory hold period expiring January 16, 2011.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

    
    About ICP
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IC Potash Corp. intends to become a primary producer of Sulfate of Potash ("SOP") by mining its 100%-owned Polyhalite Ochoa property in New Mexico. SOP is a non-chloride based potash fertilizer that sells at a substantial premium over the price of Muriate of Potash ("MOP"), the most widely used fertilizer in the world. Typically SOP sells at a premium of over 40% to MOP. IC Potash Corp. is focused on being the lowest cost producer of SOP in the world. The SOP market is over 5 million tonnes per year and is a significant fertilizer in the fruit, vegetable, tobacco, potato, and horticultural industries, and for agriculture in saline and dry soils and soils in which there is much agriculture with varieties of crops, such as for example in China, India, the Mediterranean, and the United States. The Company's Ochoa property consists of over 100,000 acres of federal sub-surface potassium prospecting permits and State of New Mexico Potassium mining leases.

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 RELEASE.

For further information: David Feick, Investor Relations, 403 218 2839, [email protected]; or contact Sidney Himmel, President and Chief Executive Officer, IC Potash Corp., [email protected], www.intercontinentalpotash.com