6 Feb 2007

French court overturns injunction on New Caledonia's Goro Nickel project

2:43 pm on 6 February 2007

An appeal court in France has overturned last November's ruling in a Paris court which imposed an injunction on part of New Caledonia's Goro Nickel project.

The injunction had ordered Goro Nickel to stop the construction of its waste storage site after a petition from the Kanak Rheebu Nuu group that had claimed the site posed a risk to the environment.

The appeal court found that it wasn't proven that stopping work on the storage site would prevent an imminent destruction of the environment.

It also found the alleged pollution could only occur if the proposed installation was put into use.

The head of Goro Nickel has welcomed the decision, saying it is a key element for the shareholders' view of the project.

About 3,000 workers are employed at the Goro site where the Brazilian consortium CVRD is building a plant at an estimated cost of three billion US dollars.