Latest news with #ICSID
Globe and Mail
01-08-2025
- Business
- Globe and Mail
Orca Energy Group Inc. announces arbitrations against the United Republic of Tanzania and Tanzania Petroleum Development Corporation over US$1.2 billion Project
TORTOLA, British Virgin Islands, Aug. 01, 2025 (GLOBE NEWSWIRE) -- Orca Energy Group Inc. (' Orca ' or the ' Company ' and includes its subsidiaries and affiliates) (TSX-V: ORC.A, ORC.B) announces that: its subsidiary, Pan African Energy Corporation (Mauritius) (' PAEM '), submitted a Request for Arbitration to the International Centre for Settlement of Investment Disputes (' ICSID '), an arm of the World Bank, against the United Republic of Tanzania (' Tanzania ') for various breaches by Tanzania of the investment protections provisions of the Agreement on Promotion and Reciprocal Protection of Investment between the Government of the Republic of Mauritius and the Government of the United Republic of Tanzania (the ' BIT '); and its subsidiary, PanAfrican Energy Tanzania Limited (Jersey) (' PAET '), submitted two separate Requests for Arbitration to ICSID against Tanzania and Tanzania Petroleum Development Corporation (' TPDC '), a petroleum corporation owned and controlled by Tanzania, for breaches of: the Production Sharing Agreement between the Government of Tanzania (the ' GoT '), TPDC, and PAET dated October 11, 2001 (the " PSA"); and the Gas Agreement between the GoT, TPDC, Songas Limited (" Songas") and PAET dated October 11, 2001 (the " GA"). The three claims (the ' Claims ') arise out of a series of actions and omissions by Tanzania and TPDC that threaten the viability of the Songo Songo Gas-to-Electricity Project (the ' Project ') and breach multiple obligations under the BIT, the PSA and the GA. These breaches include: Failing to extend the Songo Songo Development Licence (the 'Licence'): In April 2023, PAET formally requested that TPDC apply for an extension of the Licence, which is set to expire on 10 October 2026. TPDC is contractually required to make such application upon a request from the Company. TPDC failed to submit the application in a timely manner. When it eventually did so in late November 2024, it acted unilaterally — without consulting PAEM or PAET — and proposed terms that would render the Project commercially unviable. Since then, Tanzania has refused to engage in any substantive dialogue on the status or terms of the application. These actions are a coordinated effort to pressure the Company to exit the Project. Forcing continuation of the Protected Gas regime: Protected Gas, as defined in the PSA, was owned by TPDC and sold to Songas and Tanzania Portland Cement PLC until July 31, 2024. Following July 31, 2024 Protected Gas ceased and all production from the Songo Songo Gas Field constituted Additional Gas (as defined in the PSA), which PAET and TPDC are entitled to sell on commercial terms until the expiry of the PSA in October 2026. Contrary to the express terms of the PSA and the GA, TPDC — under the direction of the GoT — imposed the continued application of the Protected Gas regime on the Project, undermining the commercial balance agreed in the Project agreements. Failing to pay royalties: TPDC has failed to pay royalties owing under the Project's contractual framework, which it was required to do, and has instead attempted to compel PAET to cover these unpaid obligations, in direct violation of the PSA and the GA. Broader pattern of harassment: On an ongoing basis, various Tanzanian state agencies have subjected PAET to regulatory and administrative pressures and harassment, further eroding the stability and security of the investment environment for the Project, PAEM and PAET. Prior to pursuing the Claims through arbitration proceedings, on 7 August 2024, PAEM and PAET jointly issued a Notice of Dispute under the BIT, PSA, and GA to Tanzania and TPDC. Over the subsequent year, PAEM and PAET made extensive efforts to resolve these issues amicably. However, the lack of meaningful engagement from Tanzania and TPDC has left PAEM and PAET with no alternative but to pursue formal arbitration proceedings. While the precise amount of damages for the Claims will be determined in the course of the arbitration proceedings, the Company currently values the Project at approximately US$1.2 billion. As the arbitration proceeds, PAEM and PAET expect to appoint a quantum expert to prepare a professional damages assessment for the arbitration tribunal. The Company will update shareholders as this evolves. In all three proceedings, PAEM and PAET are represented by Boies Schiller Flexner LLP, an international law firm with a strong track record in international arbitration, including successful claims against Tanzania. Jay Lyons, Chief Executive Officer of Orca, comments on this announcement: 'Following a mutually successful partnership over the past twenty years, we were disappointed to have to have been compelled to initiate international arbitration proceedings against the United Republic of Tanzania and Tanzania Petroleum Development Corporation. Since formally submitting our application for extension of the Licence in April 2023, the Company has made every reasonable effort to engage in a constructive dialogue with all parties, with the aim of continuing and expanding operations under the Licence. Our goal remains clear: to unlock the full value of this vital project for all stakeholders — including the Government of Tanzania, its citizens, and local communities. Despite our continued willingness to reach an amicable resolution, the lack of meaningful progress has left us with no viable alternative but to take decisive legal action to protect the rights of PAET and PAEM, and the interests of our shareholders. We will provide further updates in due course.' Orca Energy Group Inc. Orca Energy Group Inc. is an international public company engaged in natural gas development and supply in Tanzania through its subsidiary, PAET. Orca trades on the TSX Venture Exchange under the trading symbols ORC.B and ORC.A. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Forward-Looking Information This press release contains forward-looking statements or information (collectively, "forward-looking statements") within the meaning of applicable securities legislation. All statements, other than statements of historical fact included in this press release, which address activities, events or developments that Orca expects or anticipates to occur in the future, are forward-looking statements. Forward-looking statements often contain terms such as may, will, should, anticipate, expect, continue, estimate, believe, project, forecast, plan, intend, target, outlook, focus, could and similar words suggesting future outcomes or statements regarding an outlook. More particularly, this press release contains, without limitation, forward-looking statements pertaining to the following: the Company's estimates in respect of the amount of damages. Although management believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, levels of activity, access to resources, results of negotiation, results from arbitration, amount of damages or costs incurred by the Company relating to negotiations and/or arbitration, since such expectations are inherently subject to significant business, economic, operational, competitive, political and social uncertainties and contingencies. These forward-looking statements involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control, and many factors could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking statements made by the Company, including, but not limited to: risk that the Company may incur losses and legal expenses as a result of the Claims; Tanzania's response to the Claims; the ability to finance the arbitration process; impact of local content regulations and variances in the interpretation and enforcement of such regulations; uncertainty regarding the amount of damages that could be payable to the Company; uncertainty regarding results through arbitration; changes in national and local government legislation, taxation, controls, or regulations and/or changes in the administration of laws, policies, and practices, expropriation or nationalization of property and political or economic developments in Tanzania; lack of certainty with respect to foreign legal systems, corruption, and other factors that are inconsistent with the rule of law; risk of loss due to acts of war, terrorism, sabotage and civil disturbances; timing of receipt of, or failure to comply with, necessary permits and approvals; and potential damage to the Company's reputation due to the actual or perceived occurrence of any number of events, including negative publicity with respect to the Company's dealings with the Tanzania and TPDC, whether true or not. Therefore, the Company's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by these forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive therefrom. Readers are cautioned that the foregoing list of factors is not exhaustive. Such forward-looking statements are based on certain assumptions made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors the Company believes are appropriate in the circumstances, including, but not limited to: the Company's relationship with TPDC and Tanzania; accurate assessment by the Company of the merits of its Claims; that the amount of damages recoverable by the Company will be in line with expectations; and other matters. The forward-looking statements contained in this press release are made as of the date of this news release and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Toronto Star
01-08-2025
- Business
- Toronto Star
Orca Energy Group Inc. announces arbitrations against the United Republic of Tanzania and Tanzania Petroleum Development Corporation over US$1.2 billion Project
TORTOLA, British Virgin Islands, Aug. 01, 2025 (GLOBE NEWSWIRE) — Orca Energy Group Inc. ('Orca' or the 'Company' and includes its subsidiaries and affiliates) (TSX-V: ORC.A, ORC.B) announces that: its subsidiary, Pan African Energy Corporation (Mauritius) ('PAEM'), submitted a Request for Arbitration to the International Centre for Settlement of Investment Disputes ('ICSID'), an arm of the World Bank, against the United Republic of Tanzania ('Tanzania') for various breaches by Tanzania of the investment protections provisions of the Agreement on Promotion and Reciprocal Protection of Investment between the Government of the Republic of Mauritius and the Government of the United Republic of Tanzania (the 'BIT'); and its subsidiary, PanAfrican Energy Tanzania Limited (Jersey) ('PAET'), submitted two separate Requests for Arbitration to ICSID against Tanzania and Tanzania Petroleum Development Corporation ('TPDC'), a petroleum corporation owned and controlled by Tanzania, for breaches of: the Production Sharing Agreement between the Government of Tanzania (the 'GoT'), TPDC, and PAET dated October 11, 2001 (the 'PSA'); and the Gas Agreement between the GoT, TPDC, Songas Limited ('Songas') and PAET dated October 11, 2001 (the 'GA'). its subsidiary, Pan African Energy Corporation (Mauritius) ('PAEM'), submitted a Request for Arbitration to the International Centre for Settlement of Investment Disputes ('ICSID'), an arm of the World Bank, against the United Republic of Tanzania ('Tanzania') for various breaches by Tanzania of the investment protections provisions of the Agreement on Promotion and Reciprocal Protection of Investment between the Government of the Republic of Mauritius and the Government of the United Republic of Tanzania (the 'BIT'); and its subsidiary, PanAfrican Energy Tanzania Limited (Jersey) ('PAET'), submitted two separate Requests for Arbitration to ICSID against Tanzania and Tanzania Petroleum Development Corporation ('TPDC'), a petroleum corporation owned and controlled by Tanzania, for breaches of: the Production Sharing Agreement between the Government of Tanzania (the 'GoT'), TPDC, and PAET dated October 11, 2001 (the 'PSA'); and the Gas Agreement between the GoT, TPDC, Songas Limited ('Songas') and PAET dated October 11, 2001 (the 'GA'). The three claims (the 'Claims') arise out of a series of actions and omissions by Tanzania and TPDC that threaten the viability of the Songo Songo Gas-to-Electricity Project (the 'Project') and breach multiple obligations under the BIT, the PSA and the GA. These breaches include: Failing to extend the Songo Songo Development Licence (the 'Licence'): In April 2023, PAET formally requested that TPDC apply for an extension of the Licence, which is set to expire on 10 October 2026. TPDC is contractually required to make such application upon a request from the Company. TPDC failed to submit the application in a timely manner. When it eventually did so in late November 2024, it acted unilaterally — without consulting PAEM or PAET — and proposed terms that would render the Project commercially unviable. Since then, Tanzania has refused to engage in any substantive dialogue on the status or terms of the application. These actions are a coordinated effort to pressure the Company to exit the Project. Forcing continuation of the Protected Gas regime: Protected Gas, as defined in the PSA, was owned by TPDC and sold to Songas and Tanzania Portland Cement PLC until July 31, 2024. Following July 31, 2024 Protected Gas ceased and all production from the Songo Songo Gas Field constituted Additional Gas (as defined in the PSA), which PAET and TPDC are entitled to sell on commercial terms until the expiry of the PSA in October 2026. Contrary to the express terms of the PSA and the GA, TPDC — under the direction of the GoT — imposed the continued application of the Protected Gas regime on the Project, undermining the commercial balance agreed in the Project agreements. Failing to pay royalties: TPDC has failed to pay royalties owing under the Project's contractual framework, which it was required to do, and has instead attempted to compel PAET to cover these unpaid obligations, in direct violation of the PSA and the GA. Broader pattern of harassment: On an ongoing basis, various Tanzanian state agencies have subjected PAET to regulatory and administrative pressures and harassment, further eroding the stability and security of the investment environment for the Project, PAEM and PAET. Prior to pursuing the Claims through arbitration proceedings, on 7 August 2024, PAEM and PAET jointly issued a Notice of Dispute under the BIT, PSA, and GA to Tanzania and TPDC. Over the subsequent year, PAEM and PAET made extensive efforts to resolve these issues amicably. However, the lack of meaningful engagement from Tanzania and TPDC has left PAEM and PAET with no alternative but to pursue formal arbitration proceedings. While the precise amount of damages for the Claims will be determined in the course of the arbitration proceedings, the Company currently values the Project at approximately US$1.2 billion. As the arbitration proceeds, PAEM and PAET expect to appoint a quantum expert to prepare a professional damages assessment for the arbitration tribunal. The Company will update shareholders as this evolves. In all three proceedings, PAEM and PAET are represented by Boies Schiller Flexner LLP, an international law firm with a strong track record in international arbitration, including successful claims against Tanzania. Jay Lyons, Chief Executive Officer of Orca, comments on this announcement: 'Following a mutually successful partnership over the past twenty years, we were disappointed to have to have been compelled to initiate international arbitration proceedings against the United Republic of Tanzania and Tanzania Petroleum Development Corporation. Since formally submitting our application for extension of the Licence in April 2023, the Company has made every reasonable effort to engage in a constructive dialogue with all parties, with the aim of continuing and expanding operations under the Licence. Our goal remains clear: to unlock the full value of this vital project for all stakeholders — including the Government of Tanzania, its citizens, and local communities. Despite our continued willingness to reach an amicable resolution, the lack of meaningful progress has left us with no viable alternative but to take decisive legal action to protect the rights of PAET and PAEM, and the interests of our shareholders. We will provide further updates in due course.' Orca Energy Group Inc. Orca Energy Group Inc. is an international public company engaged in natural gas development and supply in Tanzania through its subsidiary, PAET. Orca trades on the TSX Venture Exchange under the trading symbols ORC.B and ORC.A. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Forward-Looking Information This press release contains forward-looking statements or information (collectively, 'forward-looking statements') within the meaning of applicable securities legislation. All statements, other than statements of historical fact included in this press release, which address activities, events or developments that Orca expects or anticipates to occur in the future, are forward-looking statements. Forward-looking statements often contain terms such as may, will, should, anticipate, expect, continue, estimate, believe, project, forecast, plan, intend, target, outlook, focus, could and similar words suggesting future outcomes or statements regarding an outlook. More particularly, this press release contains, without limitation, forward-looking statements pertaining to the following: the Company's estimates in respect of the amount of damages. Although management believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, levels of activity, access to resources, results of negotiation, results from arbitration, amount of damages or costs incurred by the Company relating to negotiations and/or arbitration, since such expectations are inherently subject to significant business, economic, operational, competitive, political and social uncertainties and contingencies. These forward-looking statements involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control, and many factors could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking statements made by the Company, including, but not limited to: risk that the Company may incur losses and legal expenses as a result of the Claims; Tanzania's response to the Claims; the ability to finance the arbitration process; impact of local content regulations and variances in the interpretation and enforcement of such regulations; uncertainty regarding the amount of damages that could be payable to the Company; uncertainty regarding results through arbitration; changes in national and local government legislation, taxation, controls, or regulations and/or changes in the administration of laws, policies, and practices, expropriation or nationalization of property and political or economic developments in Tanzania; lack of certainty with respect to foreign legal systems, corruption, and other factors that are inconsistent with the rule of law; risk of loss due to acts of war, terrorism, sabotage and civil disturbances; timing of receipt of, or failure to comply with, necessary permits and approvals; and potential damage to the Company's reputation due to the actual or perceived occurrence of any number of events, including negative publicity with respect to the Company's dealings with the Tanzania and TPDC, whether true or not. Therefore, the Company's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by these forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive therefrom. Readers are cautioned that the foregoing list of factors is not exhaustive. Such forward-looking statements are based on certain assumptions made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors the Company believes are appropriate in the circumstances, including, but not limited to: the Company's relationship with TPDC and Tanzania; accurate assessment by the Company of the merits of its Claims; that the amount of damages recoverable by the Company will be in line with expectations; and other matters. The forward-looking statements contained in this press release are made as of the date of this news release and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Daily News Egypt
13-07-2025
- Business
- Daily News Egypt
Mali Sells Gold from Disputed Barrick Mine Amid Legal Standoff
Mali's transitional government has approved the exceptional sale of one metric ton of gold—worth approximately $106 million—from the Loulo-Gounkoto mine, previously operated by Canadian mining giant Barrick Gold, amid ongoing legal and contractual disputes. According to officials, proceeds from the sale will be used to pay workers' salaries and settle outstanding debts with suppliers. The move underscores the military-led government's growing efforts to assert control over the country's mineral wealth, particularly gold. The decision comes after tensions escalated between the Malian authorities and Barrick Gold, following a ruling by a Bamako court placing the mine under temporary state management. The company, in turn, has taken the case to the International Centre for Settlement of Investment Disputes (ICSID), part of the World Bank Group. At the heart of the dispute is Mali's 2023 mining law, which removed tax exemptions for foreign investors and increased the state's potential ownership in mining projects to up to 30%. Authorities have accused international mining firms of tax evasion and underreporting production figures. When Barrick Gold initially declined to pay government-imposed fines, Mali's government suspended the company's gold exports in November 2024. After several rounds of failed negotiations, the standoff remains unresolved. Government officials have criticized Barrick for allegedly prioritizing private interests over national development, while the company has countered that the military-led administration has undermined investor confidence and legal norms. Barrick Gold is one of Mali's largest mining operators, accounting for over 38% of the country's total gold output. In 2024, the company produced 19.4 metric tonnes. However, due to the dispute, Mali's total gold production fell by 23% in 2024, dropping to 51 tonnes from 66.5 tonnes in 2023, according to official data.
Yahoo
04-07-2025
- Business
- Yahoo
Lupaka Gold wins final arbitration award against Peru for Invicta project
Lupaka Gold has received a favourable final award from the Arbitral Tribunal in its arbitration against the Republic of Peru concerning Lupaka's Invicta gold project. The dispute, initiated over violations of the Free Trade Agreement (FTA) between Canada and Peru, has concluded with the tribunal ordering Peru to pay Lupaka $65m. The award includes $40.4m in compensation with interest, and $4.2m for costs and expenses related to the arbitration. Interest on these amounts is calculated at the London Interbank Offered Rate (LIBOR) plus 4% up to 30 June 2023, and United States Treasury (UST) plus 5% thereafter, compounded annually. The award also mandates compound interest on the arbitration costs at UST plus 5% from the date of the award until the final payment. The arbitration request was lodged in October 2020 under the International Centre for Settlement of Investment Disputes (ICSID) Convention and the FTA's provisions in Washington DC. The dispute centres on the Republic of Peru's failure to support Lupaka in the face of illegal actions by the Community of Parán, which included an invasion and blockade of the Invicta project site, operated by Lupaka through Invicta Mining. Before the blockade in September 2018, Invicta Mining had made significant progress on the project, including the development of 3,000m of underground workings, securing community agreements, constructing a 29km access road and conducting extensive metallurgical testing. However, the blockade erected by the neighbouring Community of Parán halted the final inspection required for exploitation to commence, leading to the arbitration claim. Lupaka CEO Gordon Ellis stated: 'Receipt of the final award is exceptionally good news and a key step in our arbitration proceedings against the Republic of Peru. 'However, it does not necessarily mean that the company will recover the amounts awarded in the immediate future. We may have a few more hoops to jump through prior to the company actually receiving any cash.' Lupaka is consulting with legal counsel to determine next steps and will prioritise payments to its funding partner, Benchwalk, upon receipt of the award proceeds. "Lupaka Gold wins final arbitration award against Peru for Invicta project" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-06-2025
- Business
- Yahoo
Barrick Upholds ICSID Arbitration In The Face Of A Malian Court Decision
Barrick Mining Corporation (NYSE:B) is among the 11 Best Copper Stocks to Buy Now. The International Centre for Settlement of Investment Disputes has officially opened arbitration procedures between Barrick Mining Corporation (NYSE:B) and the State of Mali. Aerial view of the Yellowhead copper project, the scale of the landscape revealed. The business requested temporary steps to safeguard its rights under legally binding mining conventions. This comes after the Bamako Commercial Tribunal ruled that Barrick Mining Corporation (NYSE:B)'s Loulo-Gounkoto complex should be placed under interim administration, giving an outside company operational authority. Its operations were previously suspended after the Malian government confiscated its gold holdings and prohibited gold exports. Even after almost 30 years of collaboration in Mali, the government continues to take harsher measures against the firm, such as detaining staff members. According to Barrick Mining Corporation (NYSE:B), these actions jeopardize both operational viability and legal integrity and have no legal or factual foundation. The business is dedicated to participation but focuses on safeguarding employee rights and shareholder value. The ICSID arbitration is seen as an impartial forum for resolving the conflict, and it does not exclude communication. It is among the best copper stocks. While we acknowledge the potential of B as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 High-Growth EV Stocks to Invest In and 13 Best Car Stocks to Buy in 2025. Disclosure. None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
