Supreme Court orders hearing into Chemeq and Stark dispute

Embattled Chemeq Limited has advised that the Supreme Court has today ordered that there be an urgent hearing of the dispute between Chemeq and convertible bond holders Stark Trading and its associates and Harmony Capital Partners as to whether Chemeq has met the final milestone covenant set out in the convertible bond deed poll.

The hearing is expected to commence in the Supreme Court on 10 January 2007.

The parties have agreed to maintain the status quo until the hearing of Chemeq's application seeking a declaration that it has met the final milestone covenant.

Chemeq chief executive officer David Williams said the company was pleased that the Supreme Court had ordered an urgent hearing of the matter.

The company is currently in a trading halt.