Mark Creasy-backed Zuleika Gold and Catalyst Metals have settled a long-running dispute for about $48 million, bringing an end to the ownership tug-of-war over the Plutonic gold mine.
Mark Creasy-backed Zuleika Gold and Catalyst Metals have settled a long-running dispute for about $48 million, bringing an end to the ownership tug-of-war over the Plutonic gold mine.
In an update to the market this morning, Catalyst announced it has taken sole control over the entire Plutonic belt in the Murchison region.
As part of the settlement, Catalyst agreed to issue 4.2 million shares to Zuleika, $15 million cash up front, and $2 million payable in six months.
With Catalyst shares trading at $7.34 each this morning, the 4.2 million shares are equivalent to $30.8 million.
Shares in Zuleika Gold traded at 4.6 cents each, up 53.33 per cent after the announcement.
Zuleika Gold and Catalyst subsidiary Vango Mining have argued over the ownership of the K2 area of the Plutonic gold mine in the Murchison region since 2020.
Catalyst acquired Vango for $66 million in 2023 and inherited the latter’s dispute with Zuleika.
Zuleika claimed a right to earn up to a 50 per cent joint venture interest for parts of the Plutonic gold mine.
An agreement was reached after private mediation sessions with Zuleika set to withdraw its caveat and interest into the tenement of Plutonic gold area owned by Catalyst, according to Zuleika in its ASX statement.
In its ASX announcement, Catalyst said this was the last dispute to be settled.
“With this now settled, Catalyst puts to rest all outstanding legal issues,” the company said.
“By Catalyst taking 100 per cent control over the entire Plutonic Belt, it is able to exercise full control over this key area which has long remained unexplored and unmined since the 1990s.”
“Catalyst has agreed a full and final settlement for all claims related to the litigation.
“This includes all matters related to the current litigation, the surrender of the counter parties’ 4.1 per cent interest in a tenement and the settlement of royalty and trailing payments relating to future production.
“Importantly, this allows Catalyst to avoid at least two years of complex and costly litigation and appeals, allowing it instead to accelerate mining and exploration activities.”
Zuleika chair Annie Guo said the settlement was a significant win for shareholders.
“Successfully ending this five-year litigation has required considerable resolve and an unwavering commitment to protecting Zuleika’s rights,” she said.
“The board’s persistence has paid off, delivering a strong settlement that both protects and enhances shareholder value.
“Zuleika can now turn its undivided attention to progressing our strategic priorities of advancing our portfolio of exciting gold assets and pursuing further growth opportunities.”
A trial, which was scheduled to start on October 15, was called off after parties’ counsel argued over expert evidence, pleadings and other documents.
Potential replacement trial dates in early 2026 were flagged in the Supreme Court of Western Australia last month.
