Aim- and TSX-listed copper and silver producer Atalaya on Friday provided an update with regard to a mining permit dispute at its Riotinto mine, in Spain.
In November 2016, environmental group Ecologistas en Acción (EeA) filed a claim, additional to the lawsuit filed in July 2014 related to the Unified Environmental Declaration (AAU), at the Tribunal Superior de Justicia de Andalucía (TSJA) against the Junta de Andalucía (JdA) in relation to the mining permits that authorised the reinstatement of operations at the mine.
Atalaya on Friday stated that although the claim on the mining permits was filed separately to the claim on the AAU, the TSJA had now linked the legal procedures to rule against the JdA in relation to the mining permits as a result of the resolution made by the same tribunal in September 2018.
The new ruling on the mining permits was based on the requirement to have an AAU before issuing mining permits and, therefore, invalidates the existing mining permits.
The TSJA has not accepted the requests by EeA for the cessation of activities at the mine and an increase in the scope of the environmental plan.
All the pending claims made by EeA have now been ruled on by the TSJA.
Atalaya continues to work with its legal advisers to evaluate the possibility of appealing the ruling and to ensure the TSJA addresses all procedural points raised in both rulings.
Meanwhile, operations continue normally at the mine and the JdA has publically supported the continuation of the mine.
Atalaya said an update would be provided in due course.