Interest in exploring parts of the Chathams Rise for rock phosphate has been revived as world prices soar.
Widespread Portfolios and Widespread Energy say international mining companies and local fertiliser giants had shown strong interest in the consortium's application for a prospecting permit over a 3000sq m area600km east of Christchurch.
Widespread Portfolios invests primarily in overseas-based mining and mineral exploration companies.
Approval for the prospecting permit has been delayed while the Government develops proposed legislation for regulating environmental effects of activities in New Zealand's Exclusive Economic Zone (EEZ). Legislation is expected to be introduced to Parliament before the end of next month. Peter Mourits, of Ballance Agri-Nutrients, said there had been some discussions with Widespread but these were at an early stage.
Hilton Furness, technical director of Fertiliser Manufacturers Research Association, said the prospects for phosphate that was more difficult to extract had improved markedly over the past three years, with the price more than trebling to around $600 a tonne.
Nearly all of this country's superphosphate is imported from Morocco. Widespread managing director Chris Castle said the phosphate was in nodules sitting in silt at a depth of 400m. The area was first explored in the 1980s by Fletcher Challenge.
"Rapidly increasing superphosphate prices and advances in underwater mining technology means exploration for submarine mineral deposits is now much more feasible."
The resource may exceed 100 million tonnes and could prove to be an economically viable source of fertiliser depending on extraction costs.
Widespread plans a two-year work programme that, if successful, will be followed by more detailed exploration and evaluation.
Another company, Chatham Phosphate, has an application in for 71,750sq km surrounding Widespread's area.
