Legal Challenge Threatens Oz Leigh Creek Project

Australian Leigh Creek Energy (LCK) has been served legal documents on behalf of the Adnyamathanha Traditional Lands Association in a move aimed at stopping its Leigh Creek Energy Project in South Australia, the company said September 7.

“These documents, filed in the Supreme Court of South Australia late Wednesday, are against the Minister for Energy and Mining, as the first defendant, and LCK, as the second defendant, and object to various approvals and the petroleum licence given to the Company under the Petroleum and Geothermal Energy Act 2000,” the company said.

Leigh Creek received on September 3 from the Department for Energy and Mining the final Activity Notification approval for the commencement of the Pre-Commercial Demonstration (PCD) plant operations.

At the time, it said that first gas production was imminent, saying initiation and commencement of syngas was expected within the current quarter.

“Now that we have received the final document from the regulator preliminary to PCD operations, final preparations for PCD initiation and first gas flow can be completed,” LCK’s managing director Phillip Stavely said at the time.

Part of the project includes pipeline gas which LCK has signed a non-binding heads of agreement with APT Pipelines, a subsidiary of APA Group, which will allow the development of conceptual plans for the interconnections of a new pipeline with the east coast gas markets.

“The Company has complied, and will continue to comply, with the requirements of South Australian government regulatory authorities in relation to the Leigh Creek Energy Project. While the Company respects the concerns of members of the community, it does not believe that there is any basis for the claims made in the proceedings,” Leigh Creek said.

“It is expected that the legal action will be dealt with quickly, and dismissed,” it said.

The company entered a trading halt on the Australian Stock Exchange on September 6.