New World Resources (ASX:NWC) said the Australian government's Takeovers Panel declined to conduct proceedings on the application filed by Kinterra Capital GP Corp II, regarding the affairs of the company, according to a Tuesday filing with the Australian bourse.

The application alleges that a proposed share placement by NWC to Central Asia Metals could frustrate any potential competing bid for the company, the filing said.

Kinterra is seeking final orders to block the placement, arguing it may deter alternative proposals.

The Panel determined that no exceptional circumstances existed and decided not to make a declaring of unacceptable circumstances.

Shares of the company fell 3% in recent Tuesday trade.