White Energy victorious again in seven-year long court fight with partner
White Energy has had another win in the long-running court battle against its Indonesian joint venture partner, Bayan Resources.
A Singapore court has ruled in favour of the Queensland-based coal miner (ASX:WEC) after White Energy was able to prove it could fund the PT Kaltim Supacoal joint venture on its own.
White Energy and PT Bayan Resources agreed to partner back in 2006 to build and operate plants that use White Energy’s BCB processing technology in Indonesia.
The technology upgrades coal and coal fines through a thermal drying process followed by physical and chemical stabilisation via a binderless briquetting process.
This is White Energy’s third victory in the seven-year long case after courts in Singapore and Western Australia ruled against Bayan on two other occasions.
White Energy initiated legal action against Bayan in late December 2011 because the pair couldn’t reach an agreement on the continued supply of coal by Bayan to the joint venture.
White Energy claimed Bayan was in breach of the joint venture agreement and was seeking damages.
In the most recent case, the Singapore Court of Appeal had dismissed substantially the whole of Bayan’s appeal against the initial ruling of the Singapore International Commercial Court, but asked White Energy to prove it could fund the joint venture solely.
Another hearing will be held to determine the quantum of damages, White Energy told investors today.
White Energy was unavailable to respond to queries about how much compensation it would be seeking.