Aquila, AMCI disagree over JVs

AQUILA Resources and AMCI Holdings Australia have clashed over the joint venture terms of their Belvedere Coal and Australian Premium Iron Ore projects, after CVRD's buyout of AMCI has caused confusion among the partners.

Staff Reporter

Aquila executive chairman Tony Poli told International Longwall News today that AMCI’s subsequent restructuring of the two JVs had resulted in a change in control under the JV agreement, and triggered an option for Aquila to acquire the iron ore and coal interests.

But AMCI’s legal advisers have disputed that claim, and said that AMCI would “vigorously resist” any suggestion that Aquila was entitled to trigger the buyout provisions.

Poli said that the disagreement over the Belvedere and API projects did not affect the Isaac Plains and Bowen Central joint ventures, which are expected to continue with “enhanced enthusiasm with the entry of CVRD as Aquila’s joint venture partner”

Initial studies at Belvedere by IMC Consultants indicate the potential for an underground operation of up to three longwalls, producing 11-12Mtpa of hard

coking coal.

topics

loader