Ann: GENERAL: CRP: Environmental focus for latest

• Release Date: 15/03/12 13:15
• Summary: GENERAL: CRP: Environmental focus for latest Chatham Rise cruise
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CRP
15/03/2012 11:15
GENERAL

REL: 1115 HRS Chatham Rock Phosphate Limited

GENERAL: CRP: Environmental focus for latest Chatham Rise cruise

Research Vessel Dorado Discovery is heading for the Chatham Rise today to
gather a range of environmental and geotechnical data for Chatham Rock
Phosphate.

The Dorado will spend about a month, in two separate legs, with a range of
scientists from Crown research agencies NIWA and GNS, plus other technical
staff contracted to CRP including Royal Boskalis Westminster, Golder
Associates and Kenex.

"Our focus is gathering information to prepare an environmental impact report
as part of our plan to apply for a mining licence this year," managing
director Chris Castle said.

CRP is financing the cruise through new equity raised from Subsea
Investments.  The company's other major shareholder is NZX listed Widespread
Portfolios Ltd.

Mr Castle said the scientists on the cruise will gather a significant amount
of data relating to the oceans environment in the area planned for extraction
- most particularly:
- seabed photography of benthic biota
- more information on sediment chemistry and physical characteristics
- collection of samples for evaluation of benthic organisms.

"We are working very closely with NIWA, which is advising what data, relating
to sea conditions and habitat, will be needed to prepare the necessary
reports.  This will enable us to evaluate the potential impact of extraction
and how we can manage any effects.

"NIWA has done a great job in working with the CRP during a very short time
frame to bring together the people, equipment and information needed for the
cruise," Mr Castle said.  The availability of the Dorado Discovery is
dictating the timing of the cruise.

"The environmental leg of the voyage will include using a remote operated
vehicle (ROV) to examine conditions on the sea floor in various parts of
CRP's licence area.

CRP holds an exploration licence over 4276 sq km, 450 km east of Wellington,
at shallow depths on the Chatham Rise and in New Zealand territory.  CRP has
now entered the second two-year period of its exploration licence and has
priority rights to apply for a mining licence.

New Zealand Petroleum and Minerals has approved the testing work.

The second leg of the cruise later this month will focus on gathering
geotechnical information to assist Boskalis in the design of extraction
technology, expected to be based on existing dredging mechanisms, adapted for
seabed conditions.

CRP has already used the Dorado Discovery for a preliminary
information-gathering cruise, before Christmas, and in February to test grab
sampling machinery.  These data are currently being collated and analysed and
are being used to inform the priorities of the current cruise.

The data and images collected over the current New Zealand summer involve the
most significant research work undertaken of the Chatham Rise since the
German vessel Sonne's major cruise in 1981 as part of efforts by a New
Zealand-German joint venture to evaluate the commercial viability of the
area's rock phosphate deposits.

The Dorado Discovery, operated by Odyssey Marine Exploration (NASDAQ:OMEX),
is specially equipped for marine mineral exploration and has been undertaking
such work in the south-west Pacific for the last 15 months.

Benefits of the project include:

? New Zealand controlled: The project's owner holds 100% of the licence area
estimated to contain a 15-year supply of rock phosphate for the New Zealand
market
- Known costs and technology: Mining concept studies indicate an extension of
existing technology can extract the resource from the seabed for much less
than the cost of buying it and importing it from Morocco
- Economic benefits: This project could significantly reduce New Zealand's
exposure to foreign exchange risk while improving its balance of payments
position by reducing imports and/or generating export earnings.
- Environmental benefits: The phosphate can be applied directly, is more
effective than super-phosphate and very low in cadmium.  The technologies
used will minimise seafloor disturbance, there will be a lower carbon
footprint through reduced transport requirements, and extraction will
intermittently affect a total footprint of less than 1/1000th of the Chatham
Rise seafloor.

Chris Castle
021 55 81 85
[email protected]
End CA:00220744 For:CRP    Type:GENERAL    Time:2012-03-15 11:15:55