ST. GEORGE'S POTASH PROJECT

St. George's Potash JV
In May 2008 Altius and Sprott Resources Corporation ("SRC") announced an agreement to explore for potash in the St. Georges Basin in southwestern Newfoundland. Under the agreement SCR may earn up to a 60% interest in the St. George's Project by spending $4,000,000 over 3 years subject to an underlying 2% gross sales royalty retained by Altius. The large land package assembled by Altius overs several known potash occurrences within the basin.

The St. Georges project consists of 1,372 claims (34,300 hectares) to cover four primary target areas for potash deposits. These targets feature historical potash drill intercepts, low gravity anomalies and salt springs that are underlain by a relatively unexplored evaporite sequence. The St. George's Basin is geologically analogous to the Moncton sub-basin in nearby New Brunswick that hosts significant potash production.

An exploration program to evaluate the area and to identify and prioritize drill targets has commenced.

Strategic Alliance
In addition to the St. George's Basin joint venture Altius and Sprott Resources Corporation ("SRC") have also consummated a strategic alliance regarding the assessment of potash exploration opportunities in Canada.

Under this arrangement, the two parties have agreed to work together, to provide advisory and consulting services to one another, and to collaborate in the acquisition and development of potash properties and projects Canada-wide. The new alliance provides for the confidential sharing and exchange of information and has a 1-year initial term that may be extended.