Deep-South takes Namibian Mines Ministry to court over licence denial
TSX-V-listed Deep-South Resources has filed an application on behalf of its subsidiary Haib Minerals with the High Court of Namibia for an order reviewing the decision of the Minister of Mines and Energy.
This follows the Minister’s refusal to renew Haib’s licence EPL 3140, covering the Haib copper project.
The application also seeks an urgent interdict to prevent the Ministry of Mines and Energy from granting a licence over the same licence area to another party.
The respondents to the affidavit are the Minister of Mines and Energy, the Mining Commissioner and Orange River Exploration and Mining.
Orange River is cited owing to its possible interest in the matter since it applied for an exclusive prospecting licence extending over the Haib copper deposit on November 12 last year.
Deep-South has stated its intention to vigorously contest the Minister’s decision by all means necessary and available under the applicable laws of Namibia, as well as international laws.
The company maintains that, in its application for renewal and subsequent representations made, it clearly demonstrated having met all criteria under the Minerals Prospecting and Mining Act and licence conditions to justify the renewal of its licence.
Deep-South was notified in June of the Minister’s refusal to renew the licence, which has since rendered the company unable to advance the project to prefeasibility study stage and complete a proposed drilling programme.
The Ministry issued all permits required for the drilling programme.
As a result of the Minister’s refusal to renew the licence, the company has terminated all work on site and regrettably proceeded with the retrenchment of its employees on site.
The company is also investigating its international legal options and will disclose its strategy in due course.
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