Belo Sun Mining Corp. (TSX:BSX) (OTC:BSXGF) received an interim suspension order issued by a single judge from the Agrarian Court of Altamira, a circuit judge, related to the Construction License (LI) and Environmental License (LP) for the Volta Grande Project.
What happened: Belo Sun is currently focused on developing the Volta Grande Gold Project.
According to the order, the LI and LP will be suspended until a socio-environmental study of the riverside, at a minimum distance of 10 km from the Volta Grande Project, is carried out on both banks of the Xingu River.
Belo Sun believes that all local communities, including the communities living along the Xingu River, have been properly heard during the licensing process conducted by SEMAS.
Belo Sun intends to file an appeal against this decision of the Court.
Peter Tagliamonte, President and CEO, commented, “We are disappointed by this additional interruption to our construction plans. However, these hurdles are expected, and we will work through them. We are working with our local Brazilian counsel to have the decision of the Court overturned on appeal. We are working diligently on the appropriate steps to reverse these decisions.”
Price Action: BSX shares closed lower by 20% at C$0.30 on TSX on Tuesday.
Photo Via Company
