The Nak’azdli Band has asked the Federal Court of Canada to review of Thompson Creek Metals’ (TSX:TCM) buyout of Vancouver-based Terrane Metals Corp.
According to a release issued Friday, the Nak’azdli are seeking a judicial review of federal Industry Minister Tony Clement’s decision to allow the Denver-based company to buy Terrane.
The deal between the two companies was announced in July and valued at $650 million. (See “Terrane Metals bought for $650 million” – BIV Business Today, July 15.)
The takeover gave Thompson Creek access to the highly prospective Mount Milligan copper-gold project near Fort St. James, which is now under construction.
According to Thompson’s release, the Nak’azdli claim that Clement failed to adequately consult with the band before the deal was approved.
Last spring, the Nak’azdli filed a petition for a federal review of the project’s environmental assessment permits. (See “Mount Milligan’s First Nations issues unresolved” – issue 1067; April 6-12.)
Mount Milligan received its final federal environmental approval November 2.
Less than two weeks later, band members setup a blockade on the road to the mine site.
According to B.C. Supreme Court documents, the barricade blocked companies such as Duz Cho Logging from accessing the mine site.
Duz Cho is a logging company owned and operated by the McLeod Lake Indian Band, which has supported the mine.
In this latest action, the Nak’azdli want the buyout approval set aside.
Thompson said it has not been named as a party to the judicial review, and does not believe the review will impact its operations or financial condition.
Thompson also operates the Endako molybdenum mine 100 kilometres northwest of Prince George.
At press time, the company’s shares were down $0.01 to $13.63.