Ms BADGER – In January this year, the former minister approved the renewal of Venture Minerals mine lease at Riley Creek. That’s 5M2012. That had been pending renewal for two years. Within days of that lease being renewed, Venture had put that mine lease on the market. Was the Department aware of the company’s intention to sell at the time that they renewed the lease?
Mr ABETZ – In the brief I have specifically, there is nothing to tell me that we were advised of the intention. We were only advised of the intention to sell after the election.
Ms BADGER – At the time of that lease renewal, Venture was in financial freefall. They were lurching from capital‑raising to capital‑raising with only a few months of operating cash that was available, and no clear source of income. How did Venture meet the requirements under the Mineral Resources Development Act (MRDA) for applicants to demonstrate their financial capacity to carry out their mining plan?
Mr MORTON – The renewal was approved in January. The decision around the sale was made in in July. At the time, we stepped through our normal process in looking at the requirements of the act. I haven’t got the details in front of me. It met the requirements of the act, so we provided a recommendation that it should be approved.
Ms BADGER – Is it normal process for a company that has no ability to demonstrate they have a source of income to undertake that mining program to be renewed? I’m happy to take the details on notice, but I hope that’s not normal process.
Mr MORTON – I don’t have the specifics in front of me, but they met the requirements of the act when we did the test.
