In a battle reminiscent of David and Goliath, junior miner Brockman Mining, has won a case in the Western Australian Supreme Court against Fortescue Metals Group (FMG) over access rights to FMG’s rail infrastructure in the Pilbara.
FMG had tried to block Brockman from accessing the rail line in October of last year through a challenge in the courts.
Brockman successfully argued that the Western Australian government originally gave Total Pilbara Infrastructure (TPI), a subsidiary of FMG, permission to construct the railway provided that the company, “use all reasonable endeavours to promote access to, and attract customers for, the Railway”.
Justice James Edelman agreed with Brockman, dismissed TPI’s action and ordered the company to pay costs.
However FMG’s chief executive, Nev Power, said TPI was planning to appeal the decision.
“Fortescue is a strong proponent of third party access to infrastructure and is the only company to have provided junior miners access to its Pilbara rail and port infrastructure, having shipped more than 12 million tonnes of iron ore for third parties .
“However, as Fortescue has consistently maintained TPI cannot be expected to subsidise third-party projects that are uneconomic,” Mr Power said.
In a statement Brockman said, “This favourable decision is a significant step forward for Brockman in its bid to commercialise its East Pilbara projects. Further, this decision has provided greater clarity as to the interpretation and operation of the Access Code and this will greatly assist future access seekers in their bid to gain genuine market rail access and/or haulage rates enabling them to commercialise their projects.
Hong Kong-based Brockman is the proponent of the Marillana Iron Ore Project located in the Hamersley Iron Province approximately 100 km north-west of the township of Newman.
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