SALLY Malay Mining has launched legal proceedings against its former partner in the Copernicus joint venture, Thundelarra Exploration.
The proceedings have arisen following Thundelarra’s refusal to accept a feasibility study, which was stipulated in the agreement for Sally Malay to earn its 60 per cent share.
Sally Malay has filed Supreme Court proceedings against Thundelarra.
The Copernicus project lies near Halls Creek in the state’s north and is estimated to contain 359,000 tonnes of indicated nickel at a 1.3 per cent grade.
The latest hurdle for Sally Malay comes after a lengthy development period for the company over its Sally Malay project, which was discovered 30 years ago and commenced production late last year.