Energy Resources of Australia says it sees no need to write down the value of its assets, despite development plans for a key mine being rejected.
The Rio Tinto-owned uranium miner announced earlier in October that Kakadu's traditional owners had rejected its plans to expand development of the Ranger uranium mine, and said it was assessing whether the value of its assets would be affected.
The news had dragged the company's shares down 25 per cent.
"The outcome of the review indicates there is currently no impairment," ERA said on Thursday, adding that it will continue to monitor the situation ahead of full year results, due in January 2016.
The company holds authority for mining and processing activities at the Ranger mine, which lies inside Kakadu National Park, until January 2021, and is allowed access to carry out rehabilitation activities until January 2016.
It had hoped to extend the dates so it could develop the Ranger 3 Deeps underground deposit. However the Gundjeihmi Aboriginal Corporation, which acts for the Mirarr traditional owners, formally told ERA that they are against any extension.
At 14.10 AEDT, ERA shares were down 1.5 per cent to 34 cents.
Share
