18th Apr 2016 07:52
LONDON (Alliance News) - Beowulf Mining PLC said Monday its Jokkmokk Iron Mines AB subsidiary has responded to a letter from the Swedish government on the effect a recent Swedish supreme administrative court decision on Tasman Metals Ltd's mining lease will have on Jokkmokk's Kallak North concession.
The mining inspectorate of the country recommended the concession for the Kallak North project should be awarded to Jokkmokk over seven months ago, but Jokkmok had not received a response from the government nor the Swedish minister for enterprise and innovation until February.
In February, the Swedish government requested Jokkmok's opinion on the judgement of the supreme administrative court of Sweden that Tasman Metal's mining lease for Norra Karr be cancelled, on the basis that environmental studies did not adequately support future mining operation at the site.
Until this point, future mining operation analysis would have been done at the environmental permitting stage and not the environmental impact assessment stage, and the decision criteria for the exploitation concession had been limited to the concession area. However, the decision means the criteria will be expanded.
In response, Jokkmok said the environmental impact assessment for the Kallak North project "comprehensively studied all aspects of a future mining operation and their associated environmental impacts, with a detailed technical description and site plan".
However, in light of the supreme administrative court decision, Jokkmo said it has suggested that the Kallak North application be returned to the mining inspectorate, to review the environmental impact assessment, as the previous recommendation that it be granted the concession was specific to the concession area.
"Whatever further review of the environmental impact assessment takes place, it brings forward work that would, until the supreme administrative court judgement, have been done in the environmental permitting stage; with regards to the overall timeline for Kallak's development, the extra time to be taken now to award the concession, is not significant. We welcome the opportunity to further demonstrate our responsible approach to the development of Kallak," said Chief Executive Kurt Budge.
"Beowulf will continue to reach out and work with all its stakeholders and interested parties, in getting Kallak permitted and a mine built," Budge added.
Shares in Beowulf were down 19% at 3.40 pence on Monday morning.
By Hannah Boland; [email protected]; @Hannaheboland
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