In September last year a group of Tarras farmers appealed the regional council’s decision to restrict the summer flow of the Lindis River to 900 litres per second to the Environment Court.
Another round of mediation will start at the beginning of next month.
Fish and Game Otago and local Maori are part of the appeal process.
A spokesman for the ORC said the council hoped the situation could be resolved before it needed to go to an Environment Court hearing.
There was no date for mediation to end and a hearing to be called.
As long as an outcome was expected, mediation would continue.
Some parties involved feel if a deal is not reached during this round a hearing would be the next step.
The minimum flow decision is one of many the council will have to make as it sets about trying to better manage water allocation across Otago.