The future of Mount Ruapehu's skifields remain up in the air.

The Tuwharetoa iwi group has abandoned its bid to take over the liquidated Ruapehu Alpine Lifts.

Ruapehu District Mayor Weston Kirton says there are reports the iwi now plans to take legal action, if the sale isn't stopped.

He says it's a sad situation.

"They thought they were going to be bidding- then they come in out of left field and say that they're not going to support a new bidder to actually go ahead with this negotiation." 

LISTEN ABOVE

• First bid on the table for part of Ruapehu Alpine Lifts
• 'Thanks for sticking with us, we are set to open': Embattled Ruapehu ski operator says after Government loan
• Govt loan to enable Mt Ruapehu ski fields to open over winter