Chatham announces private placement

NEWS RELEASE 20-12 December 1, 2020 CHATHAM ROCK PHOSPHATE LIMITED PRIVATE PLACEMENT WELLINGTON New Zealand - Chatham Rock Phosphate Limited (TSXV: "NZP" and NZX: "CRP" or the "Company") successfully raised further working capital in early and mid 2020 to keep the company in good standing. We continue to pursue our objective of securing a new cornerstone investor to fund our environmental permit reapplication. To facilitate securing such an investor or investors CRP is also seeking to broaden its portfolio of phosphate interests beyond the Chatham Rise mining permit and our Namibian prospecting licence applications. Accordingly, the Company is proceeding with a further non-brokered private placement of up to 10,000,000 shares at a price of CAD $0.06 (NZ$0.07) per common share for gross proceeds of up to CAD $600,000 (NZD $700,000 ) subject to regulatory approvals. As already announced, the Company has partnered with Stockhouse as part of this fundraising initiative and we expect that their global reach will materially assist CRP in reaching our target. This level of funding should sustain the company until the end of 2021 during which period our main focuses will continue to be advancing our Chatham Rise project and securing a foothold in one or more new projects. We expect this strategy to make it easier to secure a business partner to work with us in order to complete the final step of permitting the Chatham Rise project. The common shares issued pursuant to this proposed offering are subject to a hold period of four months plus one day after the closing dates of the offering as provided by securities legislation. Finders' fees may be payable in cash to arm's length parties in connection with this placement as permitted under the policies of the TSX Venture Exchange. The private placement is subject to the acceptance by the TSX Venture Exchange and is expected to close on or before January 15, 2021. 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. The resource represents one of New Zealand's most valuable mineral assets and 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 traded phosphate reserves, with 85% of the total in Morocco and neighbouring state the Western Sahara. 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 further information please contact: Chris Castle President and Chief Executive Officer Chatham Rock Phosphate Limited 64 21 55 81 85 or chris@crpl.co.nz 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. End CA:00364363 For:CRP Type:OFFER Time:2020-12-02 14:29:17