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ARTICLE · 15 JULY 2015

Case Summary: Yukon Zinc Corporation (Re), 2015 BCSC 836

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The recent British Columbia Supreme Court decision in Yukon Zinc Corporation (Re), 2015 BCSC 836, provides some rare insight into the operation of provincial "miners lien" legislation in an insolvency context.

CanadaEnergy and Natural Resources

The recent British Columbia Supreme Court decision in Yukon Zinc Corporation (Re), 2015 BCSC 836, provides some rare insight into the operation of provincial "miners lien" legislation in an insolvency context.

Background

The case arose out of the insolvency of Vancouver-based Yukon Zinc Corporation ("Yukon Zinc"). The dispute involved competing claims between Transamine Trading S.A. ("Transamine") and Procon Mining and Tunnelling Ltd. ("Procon") to approximately 14,126 MT of zinc concentrate owned by Yukon Zinc, worth an estimated US $8 million. The concentrate was situated in various locations: the mine located in Yukon Territory, in a bulk terminal in Stewart, British Columbia ("B.C."), and in trucks that were in transit between the mine and the terminal.

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