Chatham closes first tranche of private placement

NEWS RELEASE 19-09 March 26, 2019


CHATHAM ROCK CLOSES FIRST TRANCHE OF
PRIVATE PLACEMENT

WELLINGTON, New Zealand – Chatham Rock Phosphate Limited (TSXV: “NZP” and NZAX:
“CRP” or the “Company") is pleased to announce, further to the Company’s news releases
dated January 30 and February 15, 2019, that it has closed the first tranche of a non-
brokered private placement of 3,513,329 units (the “Units”) at a price of CAD$0.1275 per
Unit for gross proceeds of CAD$447,949.44. Each Unit consists of one (1) common share in
the capital of the Company and one-half of one (½) non-transferable share purchase
warrant (“Warrant”).

Each whole Warrant entitles the holder thereof to acquire one common share at a price of
CAD$0.45 per share at any time prior to the date that is five (5)years from the date of
issuance. In the event that the common shares of the Company trade on the TSX Venture
Exchange at a closing price of greater than CAD$0.60 per common share for a period of 20
consecutive trading days at any time after four months and one day after the closing date of
the private placement, the Company may accelerate the expiry date of the Warrants by
giving notice to the holders thereof by way of a news release and in such case the Warrants
will expire on the 30th day after the date of dissemination of the news release.

All securities issued pursuant to the private placement are subject to a hold period and may
not be traded until July 27, 2019.

The Company plans to complete a second tranche of the private placement and announces
that it has obtained an extension from the TSX Venture Exchange of the deadline to
complete the second tranche to April 19, 2019.
All information previously reported about the Private Placement as well as the terms and
conditions thereof remain the same.

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.

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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.

For more information contact Chris Castle on 021 558 185 or chris@widespread.co.nz or
check out www.rockphosphate.co.nz

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.