and now this:
"Let slip the dogs of law
Kevin Andrusiak
July 11, 2007
SOMETIMES, even though commodity prices are through the roof, the only winners are the paid-up members of the legal fraternity.
It's sad, but equally just as true.
But, as they say, that's business.
And the business going down at the moment is a growing public fight between Perth miners Polaris Metals ($52.75 million market cap) and Portman Mining ($1.9 billion market cap).
The stoush emanates over a couple of iron ore-prospective tenements in the Yilgarn Craton in the West Australian goldfields which Portman has controlled since 1999, way back before iron ore prices starting moving skywards.
What Daily Assay understands is that Portman signed a Heads of Agreement with Heron Resources over two Bungalbin tenements in 1999 which was then assigned to Polaris in September 29 last year after Polaris inked a Heads of Agreement with Heron in August to acquire its substantial Pilbara and Yilgarn iron ore tenements.
Polaris now argues that, based on its own legal advice, that the original 1999 Heads of Agreement is null and void because Portman has not started mining the Bungalbin tenements.
In fact, the 1999 Heads of Agreement had already been extended once from its original five year period and was due to expire July 3, 2008.
Daily Assay also understands that Portman had floated the idea with Polaris of extending the Heads of Agreement further, but that appears to have fallen on deaf ears.
Crucial to the ownership rights of the tenements is that Portman controls registration transfer papers for the ground. Polaris wants Portman to give it the transfer papers and, if they have been lodged with the authorities, Portman to withdraw them before registration.
Bungalbin's Banded Iron Formations have been intact for some 2.5 billion years and is the bread and butter for mid-tier miner Portman.
What makes things even more interesting for both Portman and Polaris is that the WA Environmental Protection Authority has raised some serious issues in its May bulletin about Aboriginal heritage and the unique flora and fauna found at Bungalbin.
“The Helena and Aurora Range, including Bungalbin Hill, represents the highest and largest example of hill (BIF) in the eastern Goldfields,” the EPA wrote in May, citing previous research by authors Newbey and Hnatiuk done in 1985.
“Of key significance is the potential economic value of the area for tourism due to its relative close proximity to Perth, visually impressive BIF ranges and the presence of extensive intact woodland vistas that have been lost in most of the WA wheatbelt. The area also has high spiritual, cultural, scientific and geological significance.”
It looks like there is a mountain of approvals that need to be considered before anyone can mine at Bungalbin.
But be assured that Portman don't want to give up the ground without a fight and will be doing everything in its power to keep it, or get some compensation if the legal chips fall its way. That's despite it not having progressed the tenements much since the original Heads of Agreement was signed in 1999.
In fact, nobody really knows if the disputed ground is a winner or a bitter disappointment in terms of mining viability.
But getting the rights to prospective iron ore tenements is never easy and Portman are probably in the box seat to play some sort of role in any development at Bungalbin given its road and rail access.
For the time being the disturbance is merely a blip on the Portman radar, but it retains significant importance for Polaris.
But don't expect Portman to throw it away without a fight.
Let the legal letters flow freely."
http://www.theaustralian.news.com.au/story/0,20876,22056161-15023,00.html
"Let slip the dogs of law
Kevin Andrusiak
July 11, 2007
SOMETIMES, even though commodity prices are through the roof, the only winners are the paid-up members of the legal fraternity.
It's sad, but equally just as true.
But, as they say, that's business.
And the business going down at the moment is a growing public fight between Perth miners Polaris Metals ($52.75 million market cap) and Portman Mining ($1.9 billion market cap).
The stoush emanates over a couple of iron ore-prospective tenements in the Yilgarn Craton in the West Australian goldfields which Portman has controlled since 1999, way back before iron ore prices starting moving skywards.
What Daily Assay understands is that Portman signed a Heads of Agreement with Heron Resources over two Bungalbin tenements in 1999 which was then assigned to Polaris in September 29 last year after Polaris inked a Heads of Agreement with Heron in August to acquire its substantial Pilbara and Yilgarn iron ore tenements.
Polaris now argues that, based on its own legal advice, that the original 1999 Heads of Agreement is null and void because Portman has not started mining the Bungalbin tenements.
In fact, the 1999 Heads of Agreement had already been extended once from its original five year period and was due to expire July 3, 2008.
Daily Assay also understands that Portman had floated the idea with Polaris of extending the Heads of Agreement further, but that appears to have fallen on deaf ears.
Crucial to the ownership rights of the tenements is that Portman controls registration transfer papers for the ground. Polaris wants Portman to give it the transfer papers and, if they have been lodged with the authorities, Portman to withdraw them before registration.
Bungalbin's Banded Iron Formations have been intact for some 2.5 billion years and is the bread and butter for mid-tier miner Portman.
What makes things even more interesting for both Portman and Polaris is that the WA Environmental Protection Authority has raised some serious issues in its May bulletin about Aboriginal heritage and the unique flora and fauna found at Bungalbin.
“The Helena and Aurora Range, including Bungalbin Hill, represents the highest and largest example of hill (BIF) in the eastern Goldfields,” the EPA wrote in May, citing previous research by authors Newbey and Hnatiuk done in 1985.
“Of key significance is the potential economic value of the area for tourism due to its relative close proximity to Perth, visually impressive BIF ranges and the presence of extensive intact woodland vistas that have been lost in most of the WA wheatbelt. The area also has high spiritual, cultural, scientific and geological significance.”
It looks like there is a mountain of approvals that need to be considered before anyone can mine at Bungalbin.
But be assured that Portman don't want to give up the ground without a fight and will be doing everything in its power to keep it, or get some compensation if the legal chips fall its way. That's despite it not having progressed the tenements much since the original Heads of Agreement was signed in 1999.
In fact, nobody really knows if the disputed ground is a winner or a bitter disappointment in terms of mining viability.
But getting the rights to prospective iron ore tenements is never easy and Portman are probably in the box seat to play some sort of role in any development at Bungalbin given its road and rail access.
For the time being the disturbance is merely a blip on the Portman radar, but it retains significant importance for Polaris.
But don't expect Portman to throw it away without a fight.
Let the legal letters flow freely."
http://www.theaustralian.news.com.au/story/0,20876,22056161-15023,00.html
