New Earth Potash Closes $5.4 Million Private Placement

WEST VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 11, 2011) - New Earth Potash Corp. ("New Earth" or "the Company") today announced the closing of a non-brokered private placement successfully completed largely due to the efforts of PowerOne Capital Markets Limited.

The private placement consisted of 21,575,000 units at a price of 25 cents per unit for aggregate gross proceeds of $5,393,750. Each unit consists of one common share of the Company and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase an additional common share of the Company at a price of 50 cents per share for a period of two years following the date New Earth becomes a reporting issuer in any Province or Territory in Canada.

As compensation for the placement of the units, the Company paid eligible parties finder's fees totalling $395,062.50. In addition, the Company issued the same parties 1,685,600 broker options. Each broker option is exercisable to purchase one unit of the Company, on the same terms as the units being offered in the private placement, for a period of two years following the date New Earth becomes a reporting issuer in any Province or Territory in Canada.

All securities issued pursuant to the private placement are subject to a hold period that is a date that is 4 months and a day after the later of: (i) August 8, 2011, and (ii) the date the Company becomes a reporting issuer in any Province or Territory in Canada.

About New Earth Potash Corp.

New Earth owns 100% of the rights to two alunite deposits in Utah named Blawn Wash and Pine Valley. Alunite is a mineral sulphate from which potassium sulphate (a high-grade potash), alumina and sulphuric acid can be extracted. A feasibility study for a large mining and processing operation at Blawn Wash was prepared in the 1970s following extensive drilling, metallurgical testing and pilot plant testing.

The net proceeds of the private placement will be used by New Earth for the continued development of its alunite deposits, including a confirmation drilling program intended to verify historical data in advance of the preparation of a 43-101 compliant resource estimate, and for working capital purposes.

NEW EARTH POTASH CORP.

Rahoul Sharan, President & CEO

Disclaimer for Forward-Looking Information

Statements containing forward-looking information express, as at the date of this news release, the Company's plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company.

Forward-looking statements and information are based on assumptions that financing and personnel will be available when required and on reasonable terms, and all necessary regulatory approvals and shareholder approval will be obtained, none of which are assured and are subject to a number of other risks and uncertainties. There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.