Litigation settled: Alliance Resources to strip 25% in Four Mile project in SA

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Image credit: flickr User: Daniel Lane

Alliance Resources Ltd has struck a deal with its joint venture partner Quasar Resources to sell 25% interest held by its 100% owned subsidiary Alliance Craton Explorer in the Four Mile Project located 550 km north of Adelaide in South Australia.

Image credit: flickr User: Daniel Lane
Image credit: flickr User: Daniel Lane

According to Energy Business Review, the parties have been involved in legal proceedings over access to the books, records and agreements relating to the joint venture.

In 2010, Alliance Resources initiated proceedings against Quasar and its affiliate Heathgate claiming ‘misleading and deceptive conduct’ and sought restitution of the 75% stake in the exploration licence for the project.

Alliance Resources said in a statement that it received evidence from Quasar on 24 June 2014.

“Having now had an opportunity to review the complete body of evidence filed in this case and having consulted with Senior Counsel following the receipt of the final pieces of that evidence, Alliance decided that the appropriate course was to settle the Federal Court litigation,” it added.

Adertisement

Resolving the Federal Court litigation means that the company will be able to progress the sale of its 25% interest in the Four Mile Project without the impediment of the litigation.