Last checked at 1 Feb 2013 07:00
For immediate release: 1 February 2013
Pathfinder Minerals Plc("Pathfinder" or the "Company")
Appeal sought against judgment obtained by Pathfinder
As announced on 19 October 2012, the English High Court granted declarations in favour of Pathfinder, to the effect that, amongst other things, its wholly-owned subsidiary, IM Minerals Limited ("IMM") had validly acquired its 99.99% interest in its Mozambique subsidiary, Companhia Mineira de Naburi ("CMDN"), pursuant to certain English law agreements entered into by IMM with General Veloso, his company JV Consultores Internacionais, Limitada and Diogo Cavaco (the "Defendants").
The English High Court subsequently ruled, on 27 November 2012, that Pathfinder is entitled to receive 90% of its total costs of those High Court proceedings; and ordered the Defendants to make an interim payment to Pathfinder in the sum of £850,000 on account of the total costs recoverable by Pathfinder.
Pathfinder announces that it has received notice of an order from the Court of Appeal in England that, following an application by the Defendants to appeal the October 2012 judgment, there will be a hearing before three Court of Appeal judges to determine whether the Defendants should be given permission to appeal.
Pathfinder proposes to attend the hearing to contest such application vigorously, and considers the basis for appeal to be without justification - both as to the Defendants' legal arguments and also in light of the Defendants' wilful and persistent breaches of orders made by the English High Court and their decision prior to trial to take no further part in the proceedings.
The Court of Appeal has accordingly directed that, unless the presiding judge decides otherwise, at the hearing it will first consider the threshold question of whether, in light of their prior conduct, the Defendants should be permitted to appeal. If the Court of Appeal considers this to be the case, it will go on to consider whether permission to appeal should be given and, if so, whether the appeal should succeed.
A date has not yet been set for the hearing. The Court has directed that the hearing should be expedited if possible, but not in priority to other listed cases. An announcement will be made once a date has been set; and a further announcement will be made once the outcome of the hearing is known.
Speaking of the permission to appeal application, Nick Trew, Chief Executive, said:
"General Veloso and the other Defendants wilfully and persistently breached the orders of the English High Court and withdrew any participation in the trial. When judgment was awarded in Pathfinder's favour the Defendants indicated that the English High Court's decision was of no consequence to them. Yet, now, in an act of desperation, the Defendants obviously feel they have no choice but to seek an appeal. Pathfinder is contesting the application."
Enquiries:
Pathfinder Minerals Plc
Nick Trew, Chief Executive
Tel. +44 (0)20 7464 8413
Daniel Stewart & Company Plc
David Hart or James Thomas
Tel: +44 (0)20 7776 6550
M: Communications
Ben Simons or Maria Souvorov
Tel: +44 (0)20 7920 2340 /2327
Notes to Editors:
Pathfinder Minerals Plc is incorporated in England & Wales and is admitted to trading on the AIM market of the London Stock Exchange.
Companhia Mineira de Naburi S.A.R.L. ("CMDN"), a subsidiary of Pathfinder Minerals, was issued mining concession licences 760C and 4623C on 13 September 2004 and 13 July 2011 respectively, each for a period of twenty-five years. Ownership of these licences is being disputed, as announced on 3 February 2012. Taken together, these mining concessions cover approximately 32,000 hectares of land on the Indian Ocean coast of the Zambezia province of Mozambique, known to contain the heavy minerals, ilmenite, rutile and zircon.