The dispute was over payment issues concerning the installation of $5 million of high-voltage power supply equipment for Wongawilli by Ampcontrol.

On June 3, the Supreme Court of New South Wales handed down a judgement in favour of Ampcontrol and ordered the company to pay $562,390.91 plus court costs.

“The case concerned the installation of a high-voltage power supply to the NRE Wongawilli Colliery and the technical definition as to what constitutes a ‘payment claim’ under the Building and Construction Industry Security of Payments Act,” Gujarat spokesman Chris Harvey said in a statement.

“Whilst mining is excluded, the act has some application for the mining industry.”

Gujarat NRE Wonga Pty Ltd held an in principle view the payment claim provided by Ampcontrol SWG Pty Ltd did not constitute a formal “payment claim” as it did not comply with the requirements of the contract it held with Ampcontrol SWG Pty Ltd.

It contended that substantial compliance with the contract was a threshold issue for the application of the Act, Harvey said.

Ampcontrol did not respond to questions put to it by ILN.

“Now the commercial dispute is resolved, Gujarat NRE Wonga Pty Ltd is confident it will continue with its strong and robust working arrangements with Ampcontrol SWG Pty Ltd,” Harvey said.

“The company is currently undertaking a Rights Issue to raise further capital to underpin the projected growth of operations.

“The longwall at NRE Wongawilli Colliery is operating and we have a full order book for the supply of coal into India.”

Gujarat has completed the despatch of its prospectus for its pro-rata non-renounceable rights issue of one fully paid ordinary share for every four shares held, at an issue price of $0.20c per share to raise up to $68.8 million.