WELLINGTON, New Zealand,
Feb. 12, 2019 /CNW/ - Chatham Rock
Phosphate Limited (TSXV: "NZP" and NZAX: "CRP" or the "Company") is
calling on the government to support its project if it wants to
transition to a lower emissions economy.
"We're on the same page and have been for years," Chief
Executive Chris Castle said in
commenting on Cabinet papers just released regarding its Just
Transitions Unit tasked with finding ways for industry to reduce
carbon emissions.
Chatham offers a much simpler
and immediately available solution, and it is on New Zealand's doorstep.
"No new technology is required; all the government needs to do
is work in parallel with our privately funded project to help get
this new phosphate extraction industry on its feet. This can best
be done by ironing out the existing anomalies in the permitting
process and relevant legislation."
The papers say the Government will intervene heavily in markets
to achieve its aims. An undated Cabinet paper, led by Megan Woods, the Minister responsible for the
Just Transitions Unit, says, "from time to time, the Government may
also need to act in entrepreneurial mode to help drive the
transition through". Such action could support the
development of new technologies and industries, "where it is
necessary to fully realise emerging opportunities e.g. clean
energy".
Dr Woods also proposes the private sector will lead "the
large-scale investments required to effect meaningful and positive
change".
"We're ready, willing and able to invest in New Zealand in a project that will deliver
multiple environmental and economic benefits."
Mr Castle said Chatham has been
talking to successive Ministers since 2012 about the role
Chatham can play in reducing
emissions.
"We have calculated that 800,000 tonnes of rock phosphate
nodules mined from the Chatham Rise would entail 4000 tonnes of
carbon dioxide in transport emissions. That compares with
80,000t of CO2 emissions from mining and shipping the same quantity
of product from Morocco to
New Zealand.
"The fact the Moroccan phosphate transport emissions are 20
times that of New Zealand sourced
phosphate ought to resonate with the Government, and its drive to
reduce emissions. Putting it another way, local production of rock
phosphate would have the immediate effect of taking 19,000 petrol
driven vehicles off the roads."
The Cabinet papers refer to how a just transition can understand
the different pathways to transform New
Zealand's economy to one that is more productive,
sustainable and inclusive. This includes partnering with business,
Maori/iwi, local government, communities and the workforce to
identify, create and support new opportunities, new jobs, new
skills and new investments that will emerge from transition.
The Cabinet papers reveal the Government will intervene heavily
in markets to achieve its aims and "from time to time, the
Government may also need to act in entrepreneurial mode to help
drive the transition through".
Such action could support the development of new technologies
and industries, "where it is necessary to fully realise emerging
opportunities e.g. clean energy".
The report says the Government has a critical role to play in
facilitating a market response to the climate change challenge,
including through an effective ETS, high-quality regulation and
effective standards.
Mr Castle called on the Government to seize opportunities such
as Chatham that can help
New Zealand become a more
sustainable economy.
We will continue to seek meetings with the key Ministers to
better communicate the carbon emission related benefits of the
Chatham Rise project, which are supplemented with a range of water
and soil quality related benefits. We have communicated these
benefits to Ministers of this and previous governments a number of
times and the message must inevitably get through.
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.
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.
Our project ticks all the boxes: environmental, health, ethical,
security of supply, economic, regional development, rare earths and
other green minerals
- Our rock is a proven reactive phosphate rock. Using it results
in much less run-off into waterways and an improved soil profile
compared with the effects of manufactured fertilisers.
- It's an organic fertiliser with no additives and with the only
processing being grinding and possible pelletisation
- It contains ultra-low levels of cadmium, a cancer-causing heavy
metal with much greater concentrations in other rock phosphate
deposits
- Being locally sourced and needing to be applied less frequently
results in much lower carbon emissions (in effect increasing the
present NZ electric vehicle fleet from 10,000 to 29,000
vehicles)
- It is New Zealand's only
significant source of phosphate and seabed extraction involves a
far smaller environmental impact than that imposed on local
overseas communities which mine phosphate
- The rock is located within one day's sailing distance and
supply is far more secure (and more ethical) than phosphate rock
imported from unstable regions on the other side of the world
- The project economics are attractive and Chatham will pay significant royalties and
income taxes
- The project will generate new jobs in environmental monitoring,
on the mining ship, in the home port and in the science and
agricultural sectors
- Chatham rock phosphate has
been independently shown to be as effective as other phosphate
fertilisers used in New Zealand.
We could provide the two fertiliser co-ops supplying most of
New Zealand's fertiliser with a
green fertiliser alternative to naturally complement their other
products.
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