WELLINGTON, New Zealand,
Jan. 11, 2019 /CNW/ - In response to
shareholder enquiries Chatham Rock Phosphate Limited (TSXV:
"NZP" and NZAX: "CRP" or the "Company") wishes
to provide the following update.
We are still actively communicating with the Capital Trust Group
stakeholders as they seek to raise the capital which was a
prerequisite to undertaking/entering the transactions outlined in
our announcement of 22 November. You will recall that these
transactions included an injection of USD 10
million into Chatham and
the acquisition by Chatham of the
Capital Trust Group.
The wheels are certainly turning at CTG, we are aware that they
have just appointed a new CEO, Mr.Dheerasak Suwannayos, a former
President of Islamic Bank of Thailand. He has also had a number of director
and executive positions in other significant Thai companies.
However, and partly due to the imposition of the holiday season,
their process is taking longer than they (or we) expected.
Consequently, it's looking likely that in order to retain
operating momentum CRP will soon approach the market and eligible
existing shareholders to raise further working capital.
We expect to be in touch in the near future detailing the terms
of the investment opportunity.
About Chatham Rock Phosphate
Chatham Rock Phosphate is the custodian of New Zealand's only material resource of
ultra-low cadmium, environmentally friendly pastoral phosphate
fertiliser. Our key role is connecting the resource with those who
need it.
Using this phosphate will support sustainable farming practices,
including healthier soil profiles and reduced accumulation of the
heavy metal cadmium, reducing carbon emissions and dramatically
lowering runoff to waterways and shrinking fertiliser needs over
time.
The resource represents one of New
Zealand's most valuable mineral assets and is of huge
strategic significance because phosphate is essential to maintain
New Zealand's high agricultural
productivity.
New Zealand's current access to
phosphate is vulnerable to economic and political events in the six
countries controlling 98% of the world's phosphate reserves, with
85% of the total in the Western Saharan state of Morocco.
Chatham takes very seriously
the responsibility vested in it through its granted mining permit
to use the world's best knowledge and technology to safely extract
this resource to help sustainably feed the world.
Our initial environmental consenting process independently
established extraction would have no significant impact on fishing
yields or profitability, marine mammals or seabirds.
Neither the Exchange, its Regulation Service Provider (as
that term is defined under the policies of the Exchange), or NZX
Limited has in any way passed upon the merits of the Transaction
and associated transactions, and has neither approved nor
disapproved of the contents of this press release.
SOURCE Chatham Rock Phosphate