Argonaut Resources (ASX: ARE) has today announced that litigation over a prospecting license between Argonaut's majority owned subsidiary, Mwombezhi Resources Ltd (MRL), and Equinox Zambia Ltd (EZL), has been discontinued by mutual consent.
The PL is located in the Mwombezhi Dome within the western extension of the Lufilian Arc which is host to the Central African Copperbelt.
In August 2011, MRL made an application to the Zambian High Court for a declaration that MRL was the legal and beneficial holder of large-scale Prospecting Licence 16121-HQ-LPL (the Lumwana West project).
In April 2013, following several months of unrelated technical discussions between the companies, EZL, via its new owner, Barrick Gold Corporation, proposed the companies discontinue litigation.
Following agreement between the parties on the process for discontinuation, Argonaut received confirmation that all required notices had been filed with the courts.
Argonaut acknowledges the rational and good-natured manner in which Barrick management handled the matter following its takeover of Equinox Ltd and the Lumwana mine in 2011.
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