Sage Potash Confirms Multiple Water Bearing Zones at Sage Plain Project - Advancing Development Strategy

Sage Potash Corp. (SAGE) released hydrogeological results from three inflate-straddle Drill Stem Tests (DSTs) conducted by Northstar Drillstem Testers between July 17–19, 2026, in the Peterson 1 well at the Sage Plain Potash Project in southeast Utah. Each test spanned a 38 m (125 ft) interval within an 8¾ inch hole.

The DSTs yielded the following data:

• DST 1 — Cutler Formation, 1,033–1,071 m (3,390–3,515 ft): recovery of 663 m of formation water (~2.8 m³ / 17.5 bbl); shut-in pressures 1,068 and 1,061 psig; temperature 41°C; yield stated as 17.0 m³/hr in the table; TDS ~32,400 mg/L; sodium-chloride type; specific gravity 1.03; pH 7.1; cation-anion balance 1.5%.
• DST 2 — Lower Cutler/Rico, 1,250–1,288 m (4,100–4,225 ft): shut-in pressure 1,345 psig but negligible inflow over a 16-minute flow period; recovered fluid was predominantly drilling fluid and was excluded from the chemistry summary. This is a failed test.
• DST 3 — Lower Cutler/Rico, 1,295–1,334 m (4,250–4,375 ft): recovery of 610 m of formation water (~2.5 m³ / 16 bbl); shut-in pressures 1,434 and 1,419 psig; yield 4.5 m³/hr; TDS ~79,600 mg/L; sodium-chloride type; cation-anion balance 1.4%.

RESPEC provided preliminary pumping-well estimates, suggesting 7 m³/h (75 gpm) from DST 1 and 4.5 m³/h (20 gpm) from DST 3, with an explicit caveat that DSTs are short-duration and characterise only the formation immediately around the borehole.

In the Honaker Trail Formation, a lost-circulation zone was identified between 1,408–1,445 m, where approximately 12.7 m³ (80 bbl) of mud was lost. Losses continued at approximately 1.6 m³/hr to a depth of 1,509 m. No DST was performed and no sample was taken in this interval. The Company infers a "highly permeable, high-transmissivity horizon capable of supplying significant water volumes" and expects the fluids to be saline based on a 1969 regional study.

Water chemistry was analysed by ACZ Laboratories, a NELAC-accredited facility. The Qualified Person for the data is Greg Vogelsang, P.Geo., P.Eng.

The results are said to align with Water Right 09-2684, approved in July 2023, which authorises up to 150 acre-feet/year (~185,000 m³) of brackish groundwater. This water is contemplated from an aquifer at approximately 1,200 m, a depth bracket that spans the productive DST 1 and DST 3 horizons.

Sage Potash Corp. (SAGE) remains a pre-revenue explorer with an inferred-only resource, a preliminary economic assessment (PEA), and a flagged going-concern risk. The company faces a €9.17M equipment payment due April 30, 2027. At this stage, market valuation typically reflects scale, grade, and the probability of financing and permitting. Water supply is a necessary condition for solution mining; therefore, confirming usable non-potable water within the existing permit's depth envelope removes one line item from the risk register. This confirmation does not change the resource, grade, tonnes, capex, permitting timeline, financing need, or mine plan.

For the water workstream, the July 2023 grant of Water Right 09-2684 for 150 acre-feet/year at a contemplated ~1,200 m depth largely validates something already permitted. For the project overall, the September 28, 2026 assay showed a combined 13.1 m @ 36.3% KCl, including 3.3 m @ 52.5% KCl.

The stock closed at C$0.15 on 2026-09-25 ahead of the September 28 assays and trades at C$0.12 on 2026-10-13. The shares are ~71% below the C$0.41 print of October 2025 and sit within two cents of the 52-week low.

On water substance, the delta versus the implicit expectation of "confirm process water" includes two flowing zones with acceptable chemistry, one dry interval, preliminary yields that are modest against the permitted volume, and a unit discrepancy that muddies the headline number. Confirming a permit that was already granted is incremental, not thesis-changing.

Sage Potash Corp. (TSXV: SAGE, OTCQB: SGPTF) is a pre-revenue potash development company focused on its flagship Sage Plain Potash Project in the Paradox Basin, San Juan County, southeast Utah. A November 6, 2025 NI 43-101 technical report outlines a 298 Mt inferred potash resource, comprising an Upper Potash Bed of 170 Mt @ 46.1% KCl and a Lower Potash Bed of 128.2 Mt @ 35.8% KCl. The report also identifies potential Upper Bed quantities of 460–530 Mt at 25–29% K₂O (40–46% KCl) within 2,400–5,000 m of the Johnson 1 well.

A September 8, 2025 Preliminary Economic Assessment (PEA), filed November 6, 2025, contemplates a 300,000 t/yr solution mining operation with an initial capital expenditure of US$155M. The company has contracted for €11M of refurbished processing plant and equipment from International Process Plants and Equipment Corp., including three evaporators, three crystallizers, and ancillary equipment designed for up to 300,000 t/yr. Payment terms were renegotiated in June 2026, with €9.17M deferred to April 30, 2027.

Water Right 09-2684 authorizes 150 acre-feet/year of brackish groundwater. Peterson 1, a 2026 step-out well located approximately 1.0–1.275 km NNE of the Johnson 1 maiden hole, was completed on August 4, 2026, to a total depth of 2,248 m.

Financing activity includes a $13.0M unit placement closed in December 2025/January 2026 at $0.20 with $0.30 three-year warrants, as well as a $6.0M placement in June 2026. No investor presentation or earnings-call transcripts were provided.