Pine Point

Tamerlane Ventures had hoped to develop a mine near the old Pine Point mine, about 40 kilometres away from Hay River. (Wikimedia Commons)

An application in an Ontario court last week could force Tamerlane Ventures to divide its assets among creditors, and forego its plans to develop a mine near the old Pine Point mine.

The company was hoping to develop a mine 40 kilometres from Hay River, near the old Pine Point Mine.

But the Tamerlane has been unable to make payments on money it's already borrowed for the project.

It applied for protection from its creditors late last year.

This week one of those creditors, the Global Resource Fund, filed an application in the Ontario Superior Court to push the company into receivership.

That would allow Tamerlane's assets to be divided up among its creditors, a move that could spell the end of the mining project.

Tamerlane's chief financial officer, Margaret Kent, was known as Peggy Witte when she ran the Giant Mine near Yellowknife before it went bankrupt.