PERTH (miningweekly.com) – Copper miner Sandfire Resources' US subsidiary is reviewing the legal implications of a court decision around the mine operating permit of its Black Butte project, in Montana.

TSX-V-listed Sandfire America this week reported that a District Court Judge had granted a motion for a summary judgment, stating that the Montana Department of Environmental Quality (DEQ) had violated the Montana Metal Mines Reclamation Act (MMRA) and Montana Environmental Policy Act (MEPA) in its analysis of the Black Butte operation, and its award of a mine operating permit in 2020.

The judge has given the parties 45 days to propose remedial measures, after which remedial action will be handed down.

“We have gone above and beyond industry standards to satisfy Montana’s permitting requirements, which provide one of the toughest regulatory processes worldwide,” said Sandfire America senior VP Jerry Zieg.

“The Montana DEQ has done comprehensive, diligent work in the environmental and technical analyses and the project continues to be cited as one of the most comprehensive and safest mining plans Montana has ever seen. This is an ongoing process and we continue to have confidence in our project.”

Sandfire MD and CEO Karl Simich told shareholders on Tuesday that Sandfire had gone to extraordinary lengths to ensure the Black Butte copper project goes well beyond industry standards to meet Montana’s rigorous permitting requirements.

“The Montana DEQ has performed comprehensive and diligent environmental and technical work over many years to ensure this project will be developed in a way that sets new standards for mine developments globally. The project utilises cutting-edge technology and modern underground mining techniques that will minimise environmental impact, protect all water resources and address Montana’s non-degradation water standards,” said Simich.

“We look forward to the results of the legal review and we remain confident the project can move forward, creating significant opportunities and benefits for the State of Montana and local communities.”

Sandfire is planning an underground operation at Black Butte, which is estimated to be the second highest grade copper deposit in the world.