Atok, Intex ‘agree’ not to sue each other

MANILA, Philippines – Mining partners Atok-Big Wedge Co. Inc. and Norwegian firm Intex Resources AS, are no longer suing each other over a botched sale agreement involving Intex’s Mindoro Nickel Project.

This was according to a September 16 statement of Atok, the mining arm of the group led by Filipino billionaire Roberto Ongpin, a day after the Court of Appeals announced a ruling favoring Intex.

“Both Atok and Intex have…agreed to jointly terminate the case pending against each other before the Makati Regional Trial Court,” Atok said. The appellate court reversed the local court’s decision favoring Atok.

The Ongpin-led firm said the two parties have reached an “agreement in principle” on September 10, a day after the appellate court’s September 9 decision.

READ: Ongpin-led Atok loses bid for Mindoro mine

Both agreed “to cooperate on a framework where after the appropriate studies and once all regulatory approvals are obtained, Atok will either operate the Mindoro Nickel Project itself or find another operator who will operate the project,” the local mining firm said.

Atok had wanted to buy the stake of Intex’s unit, which holds the Mineral Production Sharing Agreement (MPSA) with the environment department, since Intex then was “looking for a strong local partner,” the Ongpin firm said.

The sale of 100% stake in Intex unit worth at least US$10 million, did not push through, triggering the filing of civil cases.

The current agreement “renders moot and academic the decision of the Court of Appeals granting Intex’s petition to have the case in the trial court dismissed,” Atok said.

“The settlement agreement is just awaiting ministerial and formal board approvals from both Intex and Atok,” it added. – Rappler.com