PERTH (miningweekly.com) – ASX-listed Kidman Resources has entered a notice of appearance in court proceedings launched by fellow listed Marindi Metals, despite not having received a writ of summons.
Marindi last week launched legal proceedings in the Supreme Court of Western Australia, claiming that Kidman had failed to comply with a binding agreement to sell lithium rights to Marindi.
Marindi claimed that the two companies had reached a heads of agreement in April, via email. The alleged agreement would see Marindi acquire the lithium rights to the Mt Holland project, in the Forrestannia lithium belt, subject to Kidman retaining a 2% net smelter return on all pegmatite minerals, and rights to all other minerals within the relevant tenements.
Kidman has repeatedly denied the claims and labelled the court proceedings as opportunistic.
Kidman told shareholders on Monday that the company had taken the decision to enter a notice of appearance in order to avoid further delays and to bring certainty to the situation as soon as possible.
Marindi has 14 days in which to provide further details of its claims against Kidman.