New development in $12 bn mineral dispute
Curragh successor, 1235866, recently commenced proceedings in the English High Court of Justice and the Superior Court of Justice in Ontario. These new actions seek declarations that the defendants hold their interests in the Kassandra Mines in trust for 1235866. The defendants in these actions are the members of Alpha (Hendrik Visagie, David Lean, and James Stephenson), H.M. Visagie Consulting Inc., Cinnabar Limited, Endeavour Financial Corporation and TVX Gold Inc.
On July 28, 1999 TVX entered into an agreement with 1235866 that will ensure that these new claims will not result in any additional diminution of TVX's interest in the Kassandra Mines. 1235866 has agreed not to pursue any claim against TVX for an interest in the Kassandra Mines beyond the interest which has been awarded to Alpha. In the event that TVX succeeds in its appeal of the October 1998 decision, or 1235866 is successful in its claim against Alpha, 1235866 will be entitled to a 12% carried interest as defined in the agreement and the right to acquire a 12% participating interest upon payment of 12% of the aggregate amounts expended by TVX and its subsidiaries in connection with the acquisition, exploration, development and operation of the Kassandra Mines up to the date of exercise.
The on-going development and proposed financing of the Olympias project should not be affected by these developments. |
