Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Altura Mining (AJM) says it will vigorously defend itself after Civmec (CVL) launched legal action over unpaid work
  • Following in Civmec’s footsteps, Altura used today’s announcement to the ASX to label the lawsuit, launched in WA’s Supreme Court, as ‘disappointing’
  • Civmec is seeking $2.4 million in payment, relating to the work it undertook at a processing plant for Altura’s lithium project
  • The two parties have been fighting over the project for years, with the lawsuit the latest chapter in the saga
  • Altura shares are trading down 3.33 per cent to trade at 5.8 cents each

Altura Mining (AJM) has vowed to vigorously defend itself after Civmec (CVL) launched legal action over $2.4 million in unpaid work.

The long-running fight between the two parties hit a boiling point last week, when Civmec’s (CVL) subsidiary, Civmec Construction & Engineering, filed a statement of claim against Altura’s subsidiary Altura Lithium Operations.

Work at Pilgangoora

At the heart of the dispute is how much Civmec was paid to complete works at Altura’s Pilgangoora Lithium Project.

The project was completed three months late in 2018, with both sides blaming each other for the delay and seeking restitution.

In particular, Civmec sought $4.5 million from Altura for unpaid work.

Disputes continue

Following this, the two parties began negotiations, and Civmec claims it reached an agreement.

Under the agreement, Altura would have to pay the company $2.4 million, if Civmec shaved $2.1 million of the original $4.5 million sum.

However, Altura denied they ever agreed to this.

In a statement, the company said it ‘denied the assertion’ that an agreement was reached or that Civmec is entitled to payment.

Instead, Altura said it was owed $2.35 million, so it only paid Civmec the remaining balance.

What’s to come?

This is when Civmec launched legal action.

The company filed a statement of claim in the WA Supreme Court, asking for the $2.4 million allegedly agreed to, or if that’s not paid, the total sum of $4.5 million.

In response, Altura has labelled the lawsuit, ‘disappointing.’

“The decision by Civmec to commence legal proceedings against Altura is disappointing,” the company said in a statement.

“Altura is confident in its position and will vigorously defend the proceedings,” the company also stated.

Following this latest chapter, Altura’s shares are trading down at close, on July 20, decreasing 3.33 per cent to be worth 5.8 cents each.

CVL by the numbers
More From The Market Herald
X2M Connect (ASX:X2M) - Chief Operating Officer, Keith Jelley

" X2M Connect (ASX:X2M) signs two service contracts in South Korea

X2M Connect (ASX:X2M) has secured two new Software-as-a-Service (SaaS) and maintenance contracts with Gochang County and…
North Stawell Minerals (ASX:NSM) - Non Executive Chairman, Jerry Ellis

" North Stawell Minerals (ASX:NSM) extends Gellatlys gold trend to 3.5km

North Stawell Minerals' (ASX:NSM) recent aircore drilling program has extended the Gellatlys gold trend to 3.5…

" Rafaella Resources’ (ASX:RFR) Santa Comba shows improved recoveries

Rafaella Resources (ASX:RFR) has revealed positive metallurgical testwork results from the Spanish Santa Comba project which…
Raiz Invest (ASX:RZI) - CEO, George Lucas

" Raiz Invest (ASX:RZI) FUM surpasses $1 billion

Raiz Invest (ASX:RZI) has reported its funds under management (FUM) has passed the $1 billion benchmark…