Stans Energy Requests Payment of Arbitration Award from Kyrgyz Government
TORONTO--(BUSINESS WIRE)--Stans Energy Corp. (TSX-V: HRE, OTCQX: HREEF), (“Stans” or the “Company”) reports that it has sent a letter to Prime Minister Djoomart K. Otorbaev of the Kyrgyz Republic requesting payment of USD $118,206,056.80.
“the award of the Tribunal shall enter into force on the date of making the award. The award of the Tribunal shall be final and binding on the parties and is not subject to appeal. Parties are under an obligation to voluntarily execute the award of the Tribunal.”
According to Article 56 of the Arbitration Rules of the Arbitration Court at the Moscow Chamber of Commerce and Industry (the “Tribunal”); “the award of the Tribunal shall enter into force on the date of making the award. The award of the Tribunal shall be final and binding on the parties and is not subject to appeal. Parties are under an obligation to voluntarily execute the award of the Tribunal.”
Therefore, the award of the Tribunal entered into force on June 30, 2014. This date shall be final and binding for execution by the Kyrgyz Republic. Should the Kyrgyz Republic not respond to the request for payment, the Company will begin seeking redress through other avenues.
On October 30, 2013, Stans Energy Corp. and its subsidiaries filed a claim for arbitration under the Convention for the Protection of Investor’s Rights to which Kyrgyzstan is a signatory. The hearings were held in the Arbitration Court at the Moscow Chamber of Commerce and Industry. On June 30, 2014 the Company was awarded the full amount of the claim plus certain damages and costs.
On July 1, 2014, a local Moscow Arbitration Court heard the application of the Kyrgyz Republic to not recognize the jurisdiction of the Tribunal in the matter brought against it by Stans Energy Corp. The Court ruled that the Tribunal did in fact have jurisdiction in the matter and dismissed the Kyrgyz claim in favour of Stans.
The Economic Court of the Commonwealth of Independent States (the “CIS”) was requested by the Kyrgyz Republic to provide a ruling, on the interpretation of Article 11 of the Moscow Convention. The Economic Court has opted for an advisory opinion instead. As this is an advisory opinion only, it is not enforceable as a legal ruling even within the CIS. It is not binding on the Tribunal or the Courts outside the CIS. A hearing on this matter has been set for the end of September 2014.
About Stans Energy
Stans Energy Corp. is a resource development company focused on progressing Heavy Rare Earth (HRE) properties in areas of the Former Soviet Union. In December 2009, Stans acquired a 20-year mining license for the past-producing Kutessay II rare earth mine from the Kyrgyz Republic. On May 26, 2011 Stans completed the purchase of the Kashka Rare Earth Processing Plant (KRP) the same plant that previously refined REEs historically from Kutessay II. The KRP was the only hard rock plant to produce all rare earth elements outside of China, producing 120 different metals, alloys, and oxides. For over 30 years, Kutessay II produced 80% of the rare earth metals for the former Soviet Union.
We seek safe harbour.
|Rodney Irwin||David Vinokurov|
|Stans Energy Corp||Stans Energy Corp|
|Interim - President & CEO||VP Corporate Development|
FORWARD LOOKING STATEMENTS: This document includes forward-looking statements as well as historical information. Forward-looking statements include, but are not limited to, use of proceeds from the Offering, the completion of the Offering, the continued advancement of the company's general business development, research development and the company's development of mineral exploration projects. When used in this press release , the words “will”, “shall”, "anticipate", "believe", "estimate", "expect", "intent", "may", "project", "plan", "should" and similar expressions may identify forward-looking statements. Although Stans Energy Corp. believes that their expectations reflected in these forward looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statement. Important factors that could cause actual results to differ from these forward-looking statements include the potential that fluctuations in the marketplace for the sale of minerals, the inability to implement corporate strategies, the ability to obtain financing and other risks disclosed in our filings made with Canadian Securities Regulators.