White Energy: Update on legal proceedings against Bayan Resaurces
Wednesday, June 26 2013 - 03:17 AM WIB
The proceedings include a claim by BCBCS against Bayan for damages arising from Bayan?s breaches of the Joint Venture Deed between the KSC shareholders and Bayan?s wrongful repudiation of the Joint Venture Deed.
The, Company previously advised the market on 10 April 2012 of the interim freezing orders made by the Supreme Court of Western Australia (?Court?) in favour of BCBCS in respect of Bayan?s 56% shareholding in Kangaroo Resources Limited, a publicly listed Australian company (?freezing orders?). The Company further advised the market on 19 April 2012 that the freezing orders had been extended indefinitely pending a further hearing in the matter.
Bayan sought to challenge the grant and scope of the freezing orders, including a challenge to the Court?s jurisdiction to make such orders (including on constitutional grounds). Bayan?s challenge was heard by the Court at a contested hearing in Perth on 13 to 15 February 2013.
The Court has today dismissed Bayan?s challenge to the grant and scope of the freezing orders and has again extended the freezing orders indefinitely. In his reasons for decision, Justice Le Miere found that, amongst other things, BCBCS established that it had a good arguable case in respect of its claims against Bayan for breach of the Joint Venture Deed and to recover damages in respect of at least its lost investment in the KSC Joint Venture.
The freezing orders will remain in place unless and until there is a further order made by the Court. Subject to any appeal or fresh application by Bayan to challenge the freezing orders, the Company expects that the freezing orders will remain in place until after the conclusion of the proceedings against Bayan in the High Court of the Republic of Singapore. (ends)