JOHANNESBURG (miningweekly.com) – ASX-listed gold and lithium miner Kidman Resources has successfully defended the ownership of lithium rights to its Mt Holland project, including the Earl Grey deposit, located near Southern Cross in Western Australia.
The finding followed a three-day trial in the Supreme Court of West Australia, which considered whether any agreement existed with plaintiff Marindi Metals, over the lithium rights.
Marindi claimed that Kidman had failed to comply with a binding agreement regarding the sale of lithium rights. Marindi claimed that the two companies had reached a heads of agreement (HoA) in April of 2016, via email. The alleged agreement would see Marindi acquire the lithium rights to the Mt Holland project, in the Forrestania lithium belt, subject to Kidman retaining a 2% net smelter royalty return on all pegmatite minerals, and rights to all other minerals within the relevant tenements.
Supreme Court Justice Kenneth Martin found there was a need for a binding and enforceable HoA to first be signed off between the parties, prior to the companies perfecting a binding agreement.
Kidman Resources MD Martin Donohue said on Monday that the company was pleased to have had this matter resolved in its favour and that Kidman would now focus its leadership’s attention on fast-tracking development of Earl Grey, and other projects within its portfolio.