The joint venture partners of the Four Mile uranium project are mired in legal dispute regarding native title agreements on the site.
Alliance Resources, who hold 25% of the Four Mile project, has gone to the Supreme Court against its joint venture partner Quasar Resources, an affiliate of US miner Heathgate Resources.
Alliance has accused both Quasar and Heathgate of combining the Four Mile project with Heathgate’s Beverley Mine, in native title negotiations. Alliance has stated that it was not involved in negotiations on the agreement, and that it has exposed Alliance to possible liabilities arising from the Beverley project.
It is seeking to change the previous native title agreement to exclude it from liabilities on the Beverley project, in which it holds no stake.
Quasar has refused to an amendment of the agreement, which forced Alliance to pursue legal alternatives. Quasar stated that it will defend the court proceedings, adding that “the claim by Alliance is without merit, as Quasar has made the overwhelming majority of the investment in the joint venture.”
The Four Mile project is located in the north of the Frome Basin in South Australia.