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Metals and Mining
Business Fortune
07 August, 2024
After its lease for a high-grade uranium deposit was not extended, Energy Resources of Australia (ERA) announced on Tuesday that it was suing the Australian resources minister and other parties. ERA said it was not given the chance to present its case.
The local Mirarr people are fiercely opposed to the proposed exploitation of the Jabiluka uranium deposit in Australia's Northern Territory, which is surrounded by the world heritage-listed Kakadu rainforest. In fact, the proposed development of the deposit caused some of the largest environmental protests in the country in the late 1990s.
On advice from the federal government, the government of the Northern Territory refused to extend ERA's lease in Jabiluka last month. The offer from uranium producer Boss Energy to pay ERA A$550 million ($360 million) for the facility was withdrawn shortly afterward.
ERA announced on Tuesday that it had filed a lawsuit in the Federal Court of Australia against the Jabiluka Aboriginal Land Trust, the Minister of Resources, Madeleine King, and the Minister of Mining for the Northern Territory, Mark Monaghan.
In a statement, ERA claimed that the decision-making process had failed to provide it with procedural fairness and natural justice. It further stated that it has requested that the court consider its case prior to the lease's expiration on August 11.
Given the opposition of the Mirarr people, Rio Tinto, which owns about 80% of ERA but does not operate it, has stated that it will not support any further development of the project.