Business
KWG Resources Inc.: Ontario Court of Appeal Decides Ring of Fire Easement Case
TORONTO, ONTARIO--(Marketwired - Feb. 25, 2016) - The Ontario Court of Appeal has released its judgment in the appeal brought by KWG Resources Inc. (CSE:KWG)(FR
About this update from Canadian Chrome Company Inc.
[{"type":"text","content":" TORONTO, ONTARIO--(Marketwired - Feb. 25, 2016) - The Ontario Court of Appeal has released its judgment in the appeal brought by KWG Resources Inc. (CSE:KWG)(FRANKFURT:KW6) (\"KWG\") subsidiary Canada Chrome Corporation (\"CCC\"). The appeal was dismissed. The judgment confirms that should 2274659 Ontario Inc. make application to the Minister of Natural Resources for the grant of an easement over the CCC claims, the Minister must accommodate the claimholder's rights and its consent may then be dispensed with. The judgment cited, in part: \"In coming to this conclusion, the Divisional Court was required to review the evidence (or lack thereof) on the factors relevant to dispensing with consent: whether there was interference with the respondent's mining claims; the feasibility of the respondent's plan to build a railway; the presence or absence of mineral deposits on the claims; and what inferences could be made as to the respondent's motives in staking the claims along the transportation corridor.\" Elsewhere the judgment cited: \"This would leave it to the Minister of Natural Resources to determine the issue, after an environmental assessment and consultation with other affected interests - a process in which the appellant would be entitled to participate.\" The application for an easement to build a road has never proceeded and KWG will now put before the Minister of Natural Resources the details of the railroad feasibility study to be undertaken to insure that surface tenure may be assured as an assumption in the study, that the consolidated aggregates may be mined from the claims to provide material for the railroad bed, and that the claimholder's priority to consolidated aggregate is maintained. At a hearing before Ontario's Mining and Lands Commissioner (\"MLC\") in early 2013, 2274659 Ontario Inc. (formerly a subsidiary of Cliffs Natural Resources Inc. (\"Cliffs\") and now wholly-owned by Noront Resources Ltd.), sought an order to dispense with the consent of KWG/CCC for the granting of an easement for Cliffs to build a road on top of mining claims staked by KWG/CCC along a 340 kilometer corridor of high ground. The staking and subsequent exploration had been undertaken with Cliffs' consent to such use of the funds subscribed to KWG by Cliffs for shares of KWG. KWG/CCC then spent some $15 million to explore the claims an...