(Orvana Minerals Corp., 3.Mar.2021) — Orvana Minerals Corp. provided an update on its subsidiary’s OroValle Minerals S.L., ongoing judicial process which started in 2015. This Process has been continuously disclosed and updated in the company’s quarterly financial statements since 30 June 2015
The Process relates to selenium discharge levels in the Cauxa River. This river, flows past OroValle’s operations as well as other properties owned by third parties. Selenium is a naturally occurring element that is found in rocks, land and water in the area, and is not used in OroValle’s operations whatsoever. The results of scientific studies conducted by OroValle have confirmed that past and current levels of selenium in waterways in the vicinity do not cause environmental damage. The latest historical summary of this matter may be found in the quarter-ended 31 December 2020, financial statements.
OroValle’s position in this Process is that the petitioned sanctions are unreasonable and without merit. OroValle has filed its preliminary statement of defence requesting for the dismissal of the Prosecutor’s allegations on the basis that, among other things, there is an absence of a committed offence. Orovalle has submitted proven and conclusive evidence that demonstrate that its activities have not resulted in any environmental damage. Considering the strength of the legal defence and evidence in favor of OroValle’s position, OroValle is confident that this Process will result in the dismissal of this matter.
Due to procedural matters, on 1 March 2021, the trial has been rescheduled to an undetermined date in the future. The request of the Prosecutor and the State’s Attorney acting in this Process includes a fine of up to €20m and the eventual withholding of OroValle’s operations until it is demonstrated that the alleged polluting activity has ceased. The petition also includes a €5m indemnity for civil liability.
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