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ICAC will not investigate Metgasco

2nd June 2014

By: Leandi Kolver

Creamer Media Deputy Editor

  

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JOHANNESBURG (miningweekly.com) – ASX-listed Metgasco on Monday said that the Independent Commission Against Corruption (ICAC) would not be proceeding with an enquiry into the company, stating that “this advice makes it clear that there was no information in the referral to the ICAC that was indicative of corrupt conduct”.

New South Wales Energy Minister Anthony Roberts on May 15 announced that he had written to the ICAC following the receipt of information concerning shareholdings and interests in Metgaso.

“We were shocked and extremely disappointed that the Minister chose to publicly name Metgasco. We are pleased to clear the company’s name so quickly,” Metgasco chairperson Len Gill said, adding that the fact that the ICAC had dealt with the matter quickly was of great benefit as the announcement of the referral had caused damage to the company’s reputation.

The referral of the company to the ICAC was announced at the same time that the Office of Coal Seam Gas (OCSG) suspended Metgasco’s approval to drill the Rosella E01 gas exploration well.

Metgasco said that it had provided OCSG with submissions demonstrating that it had fully complied with its licence conditions, with the OCSG undertaking to advise the company on May 19 whether it was prepared to lift the drill suspension.

However, the OCSG on May 20 advised Metgasco that it had not yet completed its evaluation, and was unable to confirm the date by which it would do so, prompting the company to seek legal advice on the matter.

Metgasco told shareholders, at that time, that the company remained committed to its exploration in the Clarence Moreton basin, and was seeking legal advice in relation to the suspension of operations.

The company on Monday reiterated that it did not consider the suspension to be valid.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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