RE:RE:Plan for worst, hope for the best... I would like to add that it would appear that a new application for an EAC would fail. As such, BKM presently has two possible outcomes; have current EAC approved (yeah) or sue in court because the government allowed BKM to file a claim but when development work by BKM was completed, would not allow a mine to be built even though the EAO had determined that there would be no significant adverse effects. The government asked BKM for a huge amount of costly additional studies rather than saying that the site was determined to be too environmental sensitive to develop and settling up with BKM by purchasing the claim. It would appear that the government intended to squeeze BKM out by forcing them to complete the additional studies in a short time span (option.1) or asking for a review of the 2012 ministerial decision without submitting commentary on the additional work that BKM had performed from 2012 to the present. In particular, BKM had submitted a study showing that Lake Morrison turns over twice a year - so that the lake would not accumulate waste from the mill. Win asked what we could expect from a lawsuit. I think that referencing the drop in share price in 2012 as result of denial of EAC is a red herring, as the lawsuit would be filed by BKM rather than by 2012 shareholders. Another way of looking at the issue would be from my point of view. I became a BKM shareholder in 2015 - why should I benefit from shareholder losses realized in 2012 ?
I first wrote that BKM should expect to recoup their direct development costs (approx $ 1.90 per share). I believe BKM would also be awarded (legal) costs. It is also possible that the courts could award damages but this is far from certain.
Several years ago, the government paid a Boss Energy approx $ 30 million to surrender a mining claim when Boss' development work was only somewhere between $ 6 and $ 8 million. The government paid such an amount because they had been underhanded in dealing with Boss Energy. So it is possible that damages awarded could be substantial.
In my determination as to whether I should continue to hold BKM stock, I have assumed that BKM will only be able to recover the direct costs and legal fees.