[miningmx.com] – GOLD Fields was “surprised” and “disappointed” by a federal court decision in Australia which paves the way for the Ngadju people to serve an injunction potentially prohibiting it from mining tenements belonging to its subsidiary, St. Ives Gold Mining Company.
The Federal Court of Australia ruled on July 3 that the correct procedure in terms of the Native Title Act was not followed when some 250 mining tenements were re-granted by the state to Gold Fields.
The mining tenements were re-granted in the wake of Gold Fields’ purchase of St. Ives – a 400,000 ounce a year mine – from Western Mining Company (WMC). In terms of Australian law, Native Title confers rights to Aboriginal people that relate to water and land, Gold Fields said in an announcement today.
The Ngadju say they were excluded from the right to negotiation over 210 of some 250 mining tenements.
“Gold Fields is both surprised and disappointed by this finding, and remains strongly of the view that it has at all times complied with its obligations under the Native Title Act 1993 in respect of its dealings with these tenements,” it said.
Gold Fields said it would take the matter to the High Court of Australia if necessary, but would first appeal the Federal Court of Australia where the matter would be put before three judges. The July 3 judgement was handed down by a single judge.
“Gold Fields will also take all steps necessary to ensure that the St Ives operations are unaffected whilst this matter is resolved through the relevant court processes,” it said.
“The parties now have to undertake a process of agreeing the terms of the determination, which will give effect to the decision,” Gold Fields said. “This process can take a number of months,” it said.
“Mining injunctions cannot be applied until the whole process has been completed and it could take years; I mean four or five years,” an industry source said. “Throughout that time, St. Ives will continue to operate normally,” he said.
St Ives has mineral and exploration rights over some 127,000 hectares in western Australia.
Gold Fields said the decision did not affect St Ives’ mining tenure under Australia’s Mining Act and that the Federal Court’s proceedings were not an action against St. Ives for failure to take certain steps therefore a penalty could not be applied.
“Operations at St Ives will continue as usual pending the outcome of the determination process,” it said.
Gold Fields said in a January 27 anouncement that the assertions of the Ngadju People were “… unfounded and without merit”. It had engaged senior counsel to “… vigorously defend its position.
