Venture Minerals received full legal and regulatory approvals and secured finance for the project last year.
The group could face a legal bill in excess of $150,000 as the Federal Government and Venture Minerals seek to recover court costs.
“I’m confident that Save the Tarkine will be defeated in the courts in probably November but that’s another three or four months for a company to be pouring money into a project that they don’t know is going to be going on into the future,” he said.
The Tasmanian Minerals Council said the decision reflects the serious problems posed by legal challenges and an ineffective approval process.
The company’s managing director, Hamish Halliday, cited risks associated with the ongoing appeals against the project and an unfavourable economic environment are the major reasons.
Council spokesman Jeremy Keou said the declining iron ore price also had an impact, but mainly blames lengthy legal appeals to the project.
Photo: An aerial view of the area Venture Minerals has secured a lease to mine in the Tarkine region.
Read more here: ABC