BHP, Aquila in Pilbara boundaries clash

BHP Minerals has lost an appeal over a Supreme Court ruling relating to boundaries covered by mining leases for iron ore tenements in the Pilbara.

The Supreme Court of Western Australia's court of appeal ordered BHP’s application be dismissed in a judgment delivered by the full bench comprising of Justices Graeme Murphy, Robert Mitchell and John Vaughan today.

According to the judgment, Aquila Steel and BHP were granted mining tenements in nearby areas, divided and measured by reference to a Rocklea Homestead.

However, confusion arose when the parties used different points of reference because there were two locations titled Rocklea Homestead, differentiated through being old and new.

A mining survey of Aquila’s tenement was undertaken in 2018 with reference to the company’s preferred landmark, the New Homestead.

After BHP objected to the survey, the mining warden recommended to the Minister for Mines and Petroleum Bill Johnston that Aquila’s boundaries be outlined with reference to the Old Homestead, which was preferred by BHP.

Aquila challenged the mining warden’s decision in judicial review proceedings while another set of proceedings against BHP and Minister Johnston was ongoing.

BHP alleged Aquila starting judicial review on top of a declaratory proceeding was vexatious and an abuse of process but Supreme Court Justice Jeremy Allanson dismissed BHP's application to halt the declaratory proceedings in a judgment last year.

The WA Court of Appeal upheld Justice Allanson's decision today.

According to the judgment, a surveyor found the BHP’s lease boundaries included parts of Aquila land after a mining survey conducted in 2018.

The judgment said a datum peg indicating the boundaries of BHP’s lease area, which was erected in 1967, was missing by the time the mining survey was conducted.