The Serious Fraud Office has dropped its investigation into Australian miner Greywolf Resources' attempts to gain exploration permits in New Zealand.
The SFO launched its investigation into exploration and mining company Greywolf Resources over allegations some of its 10 mining permit applications might have been fraudulent; a claim rejected by Greywolf shortly after.
Greywolf claimed to have access to billions of dollars for large-scale South Island projects and mineral and oil exploration, including some concerning lignite and iron sands.
SFO chief executive Adam Feeley yesterday said its investigation began in June after concerns were raised about information provided by Greywolf relating to applications for exploration permits.
New Zealand Petroleum and Minerals had earlier rejected applications for three petroleum and seven mineral exploration permits due to "deficiencies in the financial information provided", Mr Feeley said in a statement.
While investigation had identified "some evidence of possible offending", the SFO could not pursue the matter without making extensive inquiries of people outside New Zealand, and concluded there was insufficient public interest in doing so.
"While there are doubts as to the integrity of some documents, and the use to which they were put, it does not meet the threshold required for a prosecution," Mr Feeley said.
Greywolf's plans came to light in December last year when it confirmed to the Otago Daily Times that it had hosted representatives of the giant Chinese energy company Qinghua Group, who flew around the country in a private jet assessing potentially billion-dollar projects.
