ISLAMABAD: Pakistan is vigorously engaging in talks with parties interested in a dispute in the Reko Diq case over the $5.97 billion award against the government.
Reko On condition of anonymity, the government is well aware of and protecting the interests of the country, a source privy to the latest developments told Dharti News.
The reaction came in response to a Law360 article, a website that deals with news storeys and analyses on legal topics, including lawsuits, case resolution, decision, legislation, compliance, law, business deals, etc.
The website reported that, after a disagreement over a rejected mining proposal, the Australian copper mining joint venture has been granted the green light to continue to raise 50 percent of the huge $5.97 billion arbitral award against Pakistan in July 2019, as long as it promises to refund those funds if the award is annulled.
According to Law360, the International Centre for the Settlement of Investment Disputes (ICSID) Committee of the World Bank released the order on Oct 30, noting that Pakistan had not secured an irrevocable bank guarantee or credit letter for 25pc of the grant, a provision laid down by the committee in September to retain the compliance stay in effect.
A conflict between Pakistan and the Tethyan Copper Corporation (TCC) was settled by the ICSID tribunal, which demanded $8.5 billion for refusing the Mining Authority of Balochistan ‘s offer for a multimillion dollar mining lease in the province in 2011.
Pakistan had previously claimed before the tribunal that the Reko Diq contract / mining licence was secured through fraudulent means and, thus, the applicant (TCC) was unable to claim damages.
Nevertheless, both sides, Pakistan and TCC, had met last year in London in October and decided to remain open to a mediated out-of-court resolution of the conflict, the sources said, adding that the parties were still engaging with each other and hoped that the matter would be settled effectively eventually.
Law360 reported that the committee terminated the stay in enforcement of 50pc of the $5.9 billion grant that the TCC received last year.
Pakistan had previously welcomed a declaration by William Hayes, Chairman of the TCC Board of Directors, in which he expressed his commitment to work for a diplomatic settlement.
In his address, Mr Hayes claimed that the corporation was ready to explore the prospects for a negotiated settlement with Pakistan and that it would continue to protect its business interests and legal rights until the conflict was resolved.
Then Pakistan took the stance that it had considered the press release made by Antofogasta Plc and William Hayes’ comment on July 12, 2019.
The Government of Pakistan welcomes this commitment to working for a mutually acceptable solution that works on both sides, “noting that it was a responsible state and that its international legal commitments are still taken most seriously by the Government of Pakistan.”
Pakistan also claimed that the Reko Diq mineral resources were the collective wealth of the people of Balochistan and Pakistan, adding that Pakistan was keen on exploiting this resource to ensure that some of the poorest people on the planet ‘s development needs were met.
The TCC is a 50-50 joint venture between Australia’s Barrick Gold Company and Chile’s Antofagasta PLC, while the southwestern Baluchistan district of Reko Diq is renowned for its mineral reserves, including gold and copper.