Aerison discloses $47m dispute

Perth contractor Aerison Group has confirmed it is in a $47 million dispute with iron ore miner Roy Hill Holdings.

The ASX company, whose stock is suspended from trading, said the dispute was over unpaid monies for services and equipment.

It related to Aerison’s design and construct contract for a 40 megalitre desalination plant, believed to be worth about $70 million.

The contract with Roy Hill was executed in October 2021 and work commenced in February last year.

Managing director Giuseppe Leone said his company had been working with Roy Hill for six months to reach an agreement.

“Our move to invoke the dispute clauses contained in the contract was a last resort in an attempt to protect the interests of the company and our team, supply chain, contractors and shareholders,” Mr Leone said.

Aerison chair Bronwyn Barnes said the company was focused on securing a positive future for the company and has signed up tier-one restructuring, finance and legal firms to assist in the process.

The company said both parties have an obligation to negotiate.

If that is not successful within a short period of time, the parties may move to arbitration.

Roy Hill is 70 per cent owned by Gina Rinehart’s Hancock Prospecting.