Asiamet Resources Limited (LON:ARS) has said it noted media reports relating to major shareholder Aeturnum Energy PTE Limited but added that its own financial position is sound and it continues to operate as normal.
An article published by Bloomberg on Friday highlighted that Aeturnum Energy PTE, a Singapore-based commodity trader, is being sued by French bank Natixis over oil contracts worth US$86mln.
In a statement, Asiamet said: "The company wishes to advise shareholders that Asiamet is in a sound financial position and continues to operate on a business as usual basis.
"Our in-country team remains fully engaged in various permitting and value enhancement activities that continue to advance the BKM copper project towards development.
“Negotiations with Aeturnum in relation to a majority position in the KSK Contract of Work located in Central Kalimantan, Indonesia are making good progress with both parties remaining fully engaged and committed to a successful outcome that that benefits all stakeholders."
“Asiamet looks forward to continuing to keep stakeholders up to date on all aspects of its business activities as it advances the BKM copper project towards development into a rising copper market,” the group added.
Aeturnum took a 19.9% stake in Asiamet in March when it subscribed for the bulk of a placing that raised £3.36mln for the mining junior.
In May, Asiamet said Aeturnum had indicated it wanted to enter talks for a partial or full acquisition of the KSK project and in June it added that Aeturnum had made a conditional offer.