OLYMPIA, Wash. -

State officials say a gravel company has dropped its legal appeal of a Hood Canal land deal between the Navy and Washington state.

That marine conservation agreement restricted commercial shoreline development and prevented Hood Canal Sand & Gravel from building a pier to load mined gravel onto barges about three miles south of the Hood Canal bridge.

The Department of Natural Resources said Wednesday the company did not appeal a lower court ruling to the Washington Supreme Court by the August deadline, thus letting the state's agreement with the Navy stand.

Last year, the Navy bought a 50-year easement from the state for $720,000 covering 4,800 acres of land below the low-tide mark. It was designed to prevent further shoreline development and protect the Navy's ability to operate in the area.

A listed number for the company was disconnected. A message left with an attorney representing the company was not immediately returned.