22nd Apr 2014 08:24
LONDON (Alliance News) - Iofina PLC Tuesday said the preliminary decision of the Montana Department of Natural Resources and Conservation is to deny the company's application for water rights in the western US state.
The iodine production company said it was notified of the decision on Friday, and it is entitled to a hearing with the state to register its disagreement with the preliminary decision of the DNRC.
The company said that in the hearing it will defend and explain the rationale behind its application and why it believes it meets the necessary regulatory requirements.
Iofina said it expects the hearing to occur within the next 45 to 60 days.
"We will continue to pursue approval of the application and expect the anticipated hearing to be an opportunity for the group to establish its case for the marketability of water," Chief Executive George Lantz said in a statement.
The company said in February that the Montana DNRC had given positive feedback on the company's non-core water rights application. It said at the time that the regulator had determined that the requested amount of water is both physically and legally available, with no adverse affect at the point of diversion due to the engineering and design consideration outlined in its application.
Iofina shares were down 9.9% to 59.50 pence, putting it in the top-ten AIM All-Share fallers in early trading Tuesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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