Palladon Ventures Files Arbitration Regarding Its Sales Agreement for the Purchase of Iron Ore
January 08 2010 - 5:01PM
Marketwired
Palladon Ventures Ltd. ("Palladon" or the "Company") (TSX VENTURE:
PLL)(FRANKFURT: PV-1) announces that its wholly owned subsidiary
Palladon Iron Corporation ("PIC") has submitted a Request for
Arbitration with respect to the termination of the Sales Agreement
for the Purchase of Iron Ore (the "Agreement") dated March 31, 2008
between PIC as seller and China Kingdom International (Australia)
PTY Ltd., CKI Minerals & Metals ("CKI") as buyer.
On September 15, 2009, the Company announced that PIC had
notified CKI of the termination of the Agreement, subject to the
dispute resolution mechanisms as set out in the Agreement. When the
Agreement was negotiated and entered into, both parties understood
that the iron ore would be delivered to CKI at the Port of Long
Beach. This understanding is set forth in the Agreement. At that
time, both parties knew that PIC had not yet entered into a signed
agreement for the storage of the iron ore at the Port of Long
Beach, and both parties knew that the performance of the Agreement
would be dependent upon PIC successfully obtaining such a signed
storage agreement. Subsequent to the signing of the Agreement, and
despite its best efforts, PIC was unable to secure a signed
agreement for a storage facility at the Port of Long Beach. This
made it commercially impracticable or impossible for either party
to perform its obligations under the Agreement.
On January 4, 2010, over four months after PIC had notified CKI
that the Agreement was terminated, CKI first notified PIC that it
did not agree with PIC's assertion that the Agreement was
terminated.
Pursuant to the Agreement, all disputes between the parties are
to be resolved by arbitration in Salt Lake City, Utah under the
Rules of Arbitration of the International Chamber of Commerce.
Accordingly, PIC has submitted a request for arbitration to the
International Chamber of Commerce, seeking a determination of the
issue of whether the Agreement is terminated due to the commercial
impracticability or impossibility of either party to perform its
obligations under the Agreement.
Palladon CEO John Cutler stated: "We continue to be very
optimistic with respect to the potential development of the Iron
Mountain Project. The Company continues to work on a plan to repay
its Luxor debt and to finance both current operations and further
development of the Iron Mountain Project."
On Behalf of the Board of Directors,
John W. Cutler, President and Chief Executive Officer
About Palladon
Palladon Ventures Ltd. is a junior resource company focused on
advancing the Iron Mountain Project, an iron ore mine located west
of Cedar City, Utah.
Disclaimer for Forward-Looking Information
Certain statements in this release are forward-looking
statements, which reflect the expectations of management.
Forward-looking statements consist of statements that are not
purely historical, including any statements regarding beliefs,
plans, expectations or intentions regarding the future, which
include the Company continuing to work on a plan to repay its Luxor
debt and to finance current operations and further development of
the Iron Mountain Project. Such statements are subject to risks and
uncertainties that may cause actual results, performance or
developments to differ materially from those contained in the
statements. No assurance can be given that any of the events
anticipated by the forward-looking statements will occur or, if
they do occur, what benefits the Company will obtain from them.
These forward-looking statements reflect management's current views
and are based on certain expectations, estimates and assumptions
which may prove to be incorrect. A number of risks and
uncertainties could cause our actual results to differ materially
from those expressed or implied by the forward-looking statements,
including: (1) a downturn in general economic conditions in North
America and internationally, (2) the inherent uncertainties and
speculative nature associated with mineral exploration and
production, (3) a decreased demand for minerals, (4) any number of
events or causes which may delay or cease exploration and
development of the Company's property interests, such as
environmental liabilities, weather, mechanical failures, safety
concerns and labor problems; (5) the risk that the Company does not
execute its business plan, (6) inability to retain key employees,
(7) inability to finance operations and growth, (8) other factors
beyond the Company's control; and (9) the risk that the Company
will not be able to raise funds due to Luxor Capital Group. These
forward-looking statements are made as of the date of this news
release and, except as required by law, the Company assumes no
obligation to update these forward-looking statements, or to update
the reasons why actual results differed from those projected in the
forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: Palladon Ventures Ltd. John W. Cutler President &
CEO 801.521.5252 801.521.5454 (FAX) info@palladonventures.com
www.palladonventures.com
Palladon Ventures Ltd. (TSXV:PLL)
Historical Stock Chart
From Jun 2024 to Jul 2024
Palladon Ventures Ltd. (TSXV:PLL)
Historical Stock Chart
From Jul 2023 to Jul 2024