Manuka Resources has affirmed the material significance of a draft decision by New Zealand’s EPA declining consent for its Taranaki VTM Project, clarifying its disclosure timeline and compliance with ASX rules amid recent share price volatility.
- EPA draft decision to decline Taranaki VTM Project consent deemed material by Manuka
- Company disclosed information promptly following release of draft decision on 5 February
- Share price decline on 5 February attributed to broader gold and silver market trends, not EPA decision
- Manuka confirmed compliance with ASX continuous disclosure obligations and Listing Rule 3.1
- Company sought suspension of EPA application processing to manage disclosure timing
Context of the EPA Draft Decision
Manuka Resources Ltd (ASX – MKR) has responded comprehensively to an ASX Aware Letter concerning the timing and impact of a draft decision by New Zealand’s Environmental Protection Authority (EPA) on its Taranaki VTM Project. The draft decision, released on 5 February 2026, proposes to decline consent for the project, which involves harvesting iron sands off the coast of Taranaki.
The company’s wholly owned subsidiary, Trans Tasman Resources Ltd, received the confidential draft decision on 4 February and engaged in detailed discussions with the EPA to clarify the timing and content of the release. Manuka sought a suspension of the EPA application processing to align the public release of the draft decision with its continuous disclosure obligations under ASX Listing Rules.
Disclosure Timing and Market Reaction
Manuka confirmed that the information contained in the draft decision was material and likely to affect the company’s share price. However, the company did not release the information immediately upon receipt due to uncertainty about the final form and timing of the EPA’s public release. Once the draft decision was posted on the EPA’s Fast-track website at 6 – 00pm Auckland time on 5 February, Manuka promptly issued its ASX announcement titled 'Draft Panel Decision to Decline Taranaki VTM Application'.
Interestingly, the company attributes the share price decline observed on 5 February prior to the announcement to broader market movements affecting gold and silver resource stocks, rather than the EPA decision itself. The share price fell from $0.19 to a low of $0.15 on 5 February and further declined to $0.11 on 6 February following the announcement.
Compliance and Corporate Governance
Manuka affirmed that it complied fully with ASX Listing Rule 3.1 regarding continuous disclosure. The company’s cleansing notice issued on 4 February was deemed valid, as it contained no excluded information and was consistent with the Corporations Act. The responses to the ASX’s queries were authorised by the company secretary and aligned with Manuka’s continuous disclosure policy.
The company’s careful navigation of disclosure obligations amidst regulatory uncertainty highlights the complex interplay between environmental approvals and market transparency for mining companies operating across jurisdictions.
Looking Ahead
While the draft decision is a setback for Manuka’s Taranaki VTM Project, the company has indicated it will study the decision carefully and consider its next steps. The final outcome remains pending, and potential appeals or modifications to the EPA’s stance could yet influence the project’s future and Manuka’s valuation.
Bottom Line?
Manuka’s handling of the EPA draft decision underscores the delicate balance between regulatory developments and market disclosure, with investors now watching closely for the company’s next move.
Questions in the middle?
- Will Manuka appeal or seek to modify the EPA’s draft decision on the Taranaki VTM Project?
- How will the EPA’s final decision impact Manuka’s operational and financial outlook?
- Could similar regulatory challenges affect other mineral sands projects in the region?