WA mining minnow Cazaly Resources Ltd has announced the next stage in its battle to secure rights over the Shovelanna deposit in the state's Pilbara region, confirming today that it has applied for a judicial review of the case.
WA mining minnow Cazaly Resources Ltd has announced the next stage in its battle to secure rights over the Shovelanna deposit in the state's Pilbara region, confirming today that it has applied for a judicial review of the termination of their application to mine by resources minister John Bowler.
Shovelanna, a 40 sqkm iron ore deposit, became subject to controversy earlier this year when Cazaly successfully applied to mine the area before its previous owner and explorer, Rio Tinto, renewed its lease. The early success of Cazaly, which included an offtake deal with BHP Billiton, saw a jump in the company's share price from 45c to $2.38.
However, the boom times were short lived, with Mr Bowler deciding that granting the licence to Cazaly was not in the public interest, and revoking the company's claim to the land under Section 111A of the Mining Act.
Today Cazaly, and joint venture partner in the Shovelanna project Echelon Resources confirmed they would appeal the Minister's decision in the Supreme Court.
The Company has retained leading Queens Counsel Malcolm McCusker and Gadens Lawyers to advise and represent it, with claims to be filed within 14 days.
According to an announcement issued by the company, the application for judicial review could not be finalised until various applications by Cazaly under the Freedom of Information Act 1992 (WA) had been processed by the Department of Industry & Resources.
By these FOI applications, Cazaly sought access to various documents, including legal advice issued by the State Solicitors office, briefing papers prepared for the minister by the department, and records from negotiations between Rio Tinto and the State Government which it alleges were referred to in Rio Tinto's submission to the Minister.
Disclosure was refused. Cazaly will again seek to obtain these documents by discovery during the course of the proceedings for judicial review.
The full announcement is pasted below
In response to this morning's article in the West Australian Newspaper Cazaly Resources Ltd (ASX: CAZ) and Echelon Resources Ltd (ASX:ECH) confirms that an application for judicial review of the decision made by the Honourable John Bowler, Minister for Resources and Assisting the Minister for State Development, to terminate application E46/678 (the Shovelanna licence) in the Supreme Court of Western Australia is in it's final stage of preparation and will be lodged within 14 days.
The Company has retained leading Queens Counsel Malcolm McCusker and Gadens Lawyers to advise and represent it.
The application for judicial review could not be finalised until various applications by Cazaly under the Freedom of Information Act 1992 (WA) had been processed by the Department of Industry & Resources.
By these FOI applications, Cazaly sought access to various documents which Cazaly considers it was entitled to see and comment on prior to the Minister making a decision under section 111A of the Mining Act 1978 (WA) including:
a) legal advice provided by the States Solicitors Office to the Minister and the Department of Industry and Resources;
b) the briefing paper prepared for the Minister by the Department of Industry and Resources; and
c) the "Statement of Principles" and related documents summarising ongoing negotiations between Rio Tinto and the State Government which were referred to in Rio Tinto's submission to the Minister;
Disclosure of the legal advice and "Statement of Principles" was refused. Cazaly will again seek to obtain these documents by discovery during the course of the proceedings for judicial review.
