We outline below how these legal principles play out in some recent worked examples and matters we have been involved in.
Acting for the administrators of a joint venture mining company
We act for the administrators of a joint venturing mining company. The company’s largest secured creditor proposed a deed of company arrangement in relation to the company; the terms of which are essentially a debt for equity swap, plus an amount available for unsecured creditor payments, including unsecured royalty holders, to allow for the ongoing operation of the mine, continued employment of all staff and the continued engagement of numerous contractors.
Minerals produced at the mine were the subject of four royalty agreements, three of…