Lane Neave advises Bathurst on C$121.5m joint venture deal with Jameson Resources

A team of corporate lawyers from Lane Neave has advised New Zealand’s largest specialist coal company, Bathurst Resources Limited, on a joint venture deal with Australian listed company, Jameson Resources Limited.

Jameson Resources is a mineral exploration company focusing on the exploration and development of coal project in western Canada.

The joint venture deal (subject to satisfaction or waiver of a number of conditions) is expected to start with a C$4m investment in July 2018 for an 8% equity interest in NWP Coal Canada Limited (a subsidiary of Jameson Resources) with the monies to be used to fund an exploration programme in relation to the Crown Mountain Coking Coal Project in Canada.

A second tranche of C$7.5m will be invested at Bathurst’s option subject to its satisfaction with the results of the exploration programme, and thereafter (upon completion of the bankable feasibility study and issue of permits) Bathurst has the option to invest a further C$110m to fund construction of the coal project, bringing the overall value of the deal to C$121.5m. If Bathurst proceeds with all tranches, it will acquire a 50% interest in NWP.

“We are very proud of the support that we have provided to Bathurst in reaching this significant agreement,” said the head of Lane Neave’s corporate team, partner, Gerard Dale

“We worked very closely with the Bathurst team to develop a joint venture agreement that will underpin the future financing and development of the Crown Mountain project.

“We look forward to working with Bathurst on the next phase of this exciting partnership.”

The Bathurst client team was led by partner Gerard Dale, with assistance from Senior Associate Joelle Grace and a team of solicitors.

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