Thalanga Copper Mines Pty Ltd v Cromarty Resources Pty Ltd; Cromarty Resources Pty Ltd v Thalanga Copper Mines Pty Ltd [2021] NSWSC 640

Supreme Court New South Wales

Medium Neutral Citation: Thalanga Copper Mines Pty Ltd v Cromarty Resources Pty Ltd; Cromarty Resources Pty Ltd v Thalanga Copper Mines Pty Ltd [2021] NSWSC 640 Hearing dates: 3, 4, 6 and 10 May 2021 Decision date: 04 June 2021 Jurisdiction: Equity - Commercial List Before: Stevenson J Decision: The defendant repudiated its obligations under the Asset Sale Agreement; the plaintiff was entitled to terminate the Asset Sale Agreement and is entitled to the Outstanding Royalties and loss of bargain damages calculated by reference to the Projected Royalties Catchwords: CONTRACTS – construction – mining tenements – royalty payable as percentage of net sales realisation – proper construction of that expression – whether defendant repudiated contract – whether plaintiff entitled to terminate – accrued rights – calculation of loss of bargain damages Cases Cited: Burger King Corp v Hungry Jack's Pty Ltd (2001) 69 NSWLR 558; [2001] NSWCA 187 Burke and Riversdale Road Pty Ltd v Gemini Investments Pty Ltd [2003] VSC 33 Clark v Macourt (2013) 253 CLR 1; [2013] HCA 56 Heyman v Darwins Ltd [1942] AC 356 Johnson v Agnew [1980] AC 367 Koompahtoo Local Aboriginal Land Council v Sanpine Pty Ltd (2007) 233 CLR 115; [2007] HCA 61 Laurinda Pty Ltd v Capalaba Park Shopping Centre Pty Ltd (1989) 166 CLR 623; [1989] HCA 23 Legione v Hateley (1983) 152 CLR 406; [1983] HCA 11 Louinder v Leis (1982) 149 CLR 509; [1982] HCA 28 McDonald v Dennys Lascelles Ltd (1933) 48 CLR 457 Mount Bruce Mining Pty Ltd v Wright Prospecting Pty Ltd (2015) 256 CLR 104; [2015] HCA 37 Progressive Mailing House Pty Ltd v Tabali Pty Ltd (1985) 157 CLR 17; [1985] HCA 14 Safehaven Investments Inc v Springbok Ltd (1995) 71 P & CR 59; [1995] EGCS 96 Shevill v Builders Licensing Board (1982) 149 CLR 620; [1982] HCA 47 Stickney v Keeble [1915] AC 386 Sunbird Plaza Pty Ltd v Maloney (1988) 166 CLR 245; [1988] HCA 11 Tramways Advertising Pty Ltd v Luna Park (NSW) Ltd (1938) 38 SR (NSW) 632; (1938) 55 WN (NSW) 228 Troulis v Vamvoukakis [1998] NSWCA 237 Texts Cited: P Herzfeld and T Prince, Interpretation (2nd ed, 2020, Thomson Reuters) J D Heydon, Heydon on Contract (2019, Thomson Reuters) Category: Principal judgment Parties: Thalanga Copper Mines Pty Ltd (Plaintiff/Cross-Defendant) Cromarty Resources Pty Ltd (First Defendant/Cross-Claimant) Red River Resources Limited (Second Defendant) Representation: Counsel: A McGrath SC with T Jonker (Plaintiff/Cross-Defendant) J C Kelly SC with A J Barnett (First Defendant/Cross-Claimant)