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Be the first with the news that moves the market- Conic Metal Corp. (NKL) has announced that a court summons has been served to the Ramu Nickle and Cobalt Mine in Papua New Guinea.
- Conic Metal Corp is not being directly perused by the legal action but the company owns an 8.56% joint-venture interest in the operation
- The company being sued, MCC Ramu Nickle Management, is alleged to have heavily polluted the local waters during to a toxic spill in August of last year
- The action is being brought forward by the Provincial Government of Madang for monetary damages of C$6.67 billion and special damages of C$630,000
- Operations at the mine currently remain unaffected
- Conic Metals has been informed that MCC Ramu is planning to defend against the allegations
- Conic Metals Corp. (TSXV: NKL) dropped 14.7% today, with shares currently selling at C$0.29
Conic Metals (NKL) announced today it has become aware of a writ summons regarding the Ramu Nickle and Cobalt Operations in PNG.
It must be noted upfront that Conic has not been named in the summons, nor has any ownership in the company that is being pursued, MCC Ramu Nickle Management.
Conic Metals owns an 8.56% joint-venture interest in the operations at Ramu.
The Madang Provincial Government have brought this action against MCC Ramu Nickle due to allegations about environmental pollution.
In August of last year, a toxic slurry spill contaminated the local water source at Madang. The Provincial Government of Madang commissioned an environmental study to assess the damage caused.
The impact study was published in October, at which point MCC Ramu Nickle denied its validity saying it was not sanctioned by PNG’s Conservation Environment and Protection Authority.
As a result of this perceived inaction, The Provincial Government pursuing monetary damages of C$6.67 billion and special damages of C$630,000.
Despite the summons, operations at the site have not been altered.
Conic Metals Corp. have been notified by a majority-shareholder in MCC that they plan to defend against the allegations.
Conic Metals Corp. (TSXV: NKL) dropped 14.7% today, with shares currently selling at C$0.29.
