Fortescue Metals has offered $8 million to the Yindjibarndi Ngurra Aboriginal Corporation (YNAC) in its closing arguments in the landmark federal court battle over native title compensation for mining their land through its Solomon Hub in the WA Pilbara.
It's a stark difference from a revised figure of $1.8 billion in compensation being sought by the Yindjibarndi traditional owners, which they say factors in the extent of their alleged cultural losses from the construction and operation of FMG’s (ASX : FMG) Solomon Hub iron ore mining precinct in WA’s Pilbara.
Having been granted Native Title rights in 2017, the Yindjibarndi landowners are also seeking compensation from the WA Government for lost economic benefits and cultural and spiritual damage caused by the project.
The claim, filed in 2023, covers about 75% of FMG’s Solomon tenements and has been mining the area for 10 years so far without the company nor the WA Government asking for consent to utilise the land.
It’s estimated that the Solomon Hub iron ore mine has so far generated a whopping $80 billion in revenue for Fortescue since 2013.
In its submission to the court last week FMG argued that “the maximum value of the impairment of native title rights and interests was $95,197.
“YNAC’s claim for non-economic loss does not confront this task. YNAC’s claim for $1 billion is a disproportionate ambit claim, transparently aimed at enabling the YP to
share in profits and revenue derived by FMG or the State, to which the YP have no entitlement,” the iron ore miner’s lawyers said.
“A sum of no more than $8 million for the YP’s non-economic loss would reflect Australian standards that are appropriate, fair and just. Such a sum involves a very generous assessment.”
The court intends to lay down its verdict at the end of the year or early 2026.
The $52 billion FMG’s shares are up 1.57% to $17.12 at the time of writing.
