WELLINGTON, New Zealand,
Sept. 5, 2018 /CNW/ - Chatham Rock
Phosphate Limited (TSXV: "NZP" and NZAX: "CRP" or the "Company") is
pleased to announce that it has recently formed a 100% owned
subsidiary Pacific Rare Earths Limited.
This company has been formed to project-manage a work programme
aimed at quantifying the extent, value and recoverability of Rare
Earths Elements (REE) and other potentially strategic or valuable
minerals contained in the rock phosphate nodules on the Chatham
Rise.
In addition, the company will be investigating the existence and
recovery potential of rare earths and other valuable minerals in
seafloor muds on the Rise.
Rare Earths in phosphate
A recent study of marine phosphate nodules by the United States
Geological Survey reveals that there are significant quantities
of REE contained within the phosphate nodules on the Chatham
Rise. Of the 17 recognised rare earths, 15 are present in Chatham
Rise rock phosphate nodules, as well as varying concentrations of
other valuable minerals including nickel, cobalt, chromium,
vanadium, zirconium, fluorine and strontium. Collectively these
minerals, if they can be efficiently extracted as by-products,
represent not only an immensely strategic asset for New Zealand but could significantly improve
the already attractive forecast project economics.
The presence of these minerals within the phosphate rock is
highly significant because the contained value may be released
onshore (if extraction proves feasible and economically viable)
without any change to the proposed mining system, and without any
additional environmental impacts in the Project area.
Rare Earths in seafloor muds
Shareholders will recall that we established and announced some
time ago that there were significant quantities of rare earths and
other valuable minerals in the seafloor muds in our permit area.
These include cerium, lanthanum, neodymium, praseodymium, yttrium,
cobalt, rubidium, cesium, germanium, gallium, strontium, thallium
and tungsten.
The primary challenge associated with the production of rare
earths from the muds is the extraction process, and the advancement
of processing technology that will be required in order to
demonstrate the feasible and economically viable separation of any
of these minerals. In addition, recovery of rare earths from muds
will involve the development of a new marine mining system, and
therefore will be considered for development separately from the
existing CRP rock phosphate nodules project.
Further Independent Research
The information CRP already holds about REEs and other valuable
minerals in its permit areas was generated by independent
organisations, with some of this work undertaken up to a decade
ago. The current knowledge confirms that REEs occur over a wide
area, and estimates of the average grades and therefore the size of
the potential deposits have been made at a conceptual level. The
current conceptual information, when assessed against current price
data, confirms the significance of potential value.
As a result of the extremely favourable preliminary research,
CRP has commenced a dialogue with appropriated skilled and funded
external parties, based both in New
Zealand and internationally, in order to further develop
better upstanding of the extraction and recovery potential of the
minerals.
CRP is excited to be engaging in the investigation of REE
recovery, which is a strategic priority of the New Zealand
Government in relation to the mineral sector, as recently stated by
the Honourable Dr Megan Woods,
Minister of Energy and Resources.
The Chatham Rise rock phosphate and rare earths deposit has the
potential to contribute to the understanding of REE potential in
New Zealand, given that it is
likely that there is more information already available about the
REE minerals in the Chatham Rise deposit than any other rare earths
deposit in New Zealand.
CRP expects to be in a position to release more information on
this exciting initiative in forthcoming months.
Neither the Exchange, its Regulation Service Provider (as
that term is defined under the policies of the Exchange), or New
Zealand Exchange 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