An arbitration tribunal of the World Bank’s International Center for Settlement of Investment Disputes (ICSID) had on Monday ruled against Pakistan in relation to the unlawful denial of a mining lease for the Reko Diq project in 2011, Chilean mining company Antofagasta plc announced on Tuesday.
The arbitration claim had been submitted in 2012 by the Tethyan Copper Company Pty Ltd (TCC), a joint venture between Antofagasta and Australia’s Barrick Gold Corporation.
“Yesterday’s decision by the ICSID tribunal rejected Pakistan’s final defence against liability and confirmed that Pakistan had violated several provisions of its bilateral investment treaty with Australia, where TCC is incorporated,” a press release issued by the company said.
The claim could not be verified with Pakistan’s legal representatives in the case.
The tribunal is presided over by Klaus Sachs from Germany. The arbitrators are Stanimir A. Alexandrov from Bulgaria, appointed by TCC, and Leonard Hoffman from England, appointed by Pakistan. From March 22, it will start assessing the damages that are to be paid by Pakistan to TCC.