Khan Resources Takes $104 Million Mongolia Dispute to U.S. Court

Khan Resources Inc., the Canadian mining company claiming $104 million from Mongolia for lost licenses, petitioned a U.S. court to weigh in on the protracted dispute.
Khan on June 12 asked the U.S. District Court in the District of Columbia to endorse a compensation package that international arbitrators ruled was owed the company in March.
“The award is due and payable now,” Khan Chief Executive Officer Grant Edey said Monday in a statement. “We continue to seek an amicable basis for the payment.”
The Mongolian government has refused to pay compensation to the Toronto-based company after stripping its uranium mining licenses in 2009, an action Khan fought in the courts for four years. The $100 million in damages awarded by arbitrators is accruing interest at a rate of $6,485 a day, reaching $104.3 million at the end of last week.
The dispute risks deterring investors in Mongolia, which has used last month’s copper-mine deal with Rio Tinto Group to try to woo companies back after foreign direct investment plunged more than 90 percent in two years.
Confirmation of the compensation award would make it executable in the U.S. as a court judgment, Khan said in the statement. Mongolia’s refusal to pay “raises the question of whether investors should be investing in a country that does not respect international arbitration,” Edey said.
Meetings in Ulaanbaatar to resolve the dispute broke down in April. The Ministry of Justice said at the time that Khan had ended negotiations early and it would seek to nullify the award. Khan said it was unaware of any grounds to justify such a move.
Bayartsetseg Jigmiddash, state secretary at the ministry, was unavailable for comment on Monday and didn’t respond to an e-mail.
Share:

0 comments:

Post a Comment

Facebook page

Powered by Blogger.

Categories

Advertising in Mongolia An Culture Editorial of the Mongolianviews education Environmental protection Famous Mongolians Foreigners in Mongolia Inner Mongolia Ivanhoe Mines Mongolia agriculture Mongolia analysis Mongolia and Australia Mongolia and Belorussia Mongolia and Cambodia Mongolia and Canada Mongolia and central Asia Mongolia and China Mongolia and Cuba Mongolia and EU Mongolia and Germany Mongolia and Hongkong Mongolia and Hungary Mongolia and India Mongolia and Inner Mongolia Mongolia and Iran Mongolia and Italy Mongolia and Japan Mongolia and Kazakhstan Mongolia and Korea Mongolia and Kuwait Mongolia and Malaysia Mongolia and Nato Mongolia and North Korean Mongolia and Poland Mongolia and Russia Mongolia and Singapore Mongolia and South Korea Mongolia and Taiwan Mongolia and the world Mongolia and Tibet Mongolia and Turkey Mongolia and UK Mongolia and Ukraine Mongolia and UN Mongolia and USA Mongolia and Vietnam Mongolia Banking Mongolia civic society Mongolia crime Mongolia diplomacy Mongolia Economy Mongolia Education Mongolia Energy Mongolia Finance Mongolia Health Mongolia History Mongolia holiday Mongolia in international media Mongolia Industries Mongolia Joke Mongolia law Mongolia LGBT Mongolia medical Mongolia military Mongolia Mining Mongolia Mining Developments Mongolia Mortgage Mongolia natural disaster Mongolia Petroleum Mongolia public announcements Mongolia railways Mongolia Religion Mongolia society Mongolia Sports Mongolia Stamp Mongolia telecommunication Mongolia tourism Mongolia Urbanization Mongolia Wild Life Mongolian Agriculture Mongolian Archeology Mongolian Food Mongolian Gay Mongolian Government news Mongolian History Mongolian Military Mongolian Mining Development Mongolian Movie Mongolian News Mongolian Parliament Mongolian Political news Mongolian Press Mongolian Songs Mongolian Women Mongolian Youth Mongolians abroad Moninfo Opinion Oyu Tolgoi Investment Agreement Photo news Press Release Rio Tinto Tavan Tolgoi coal mine Ulaanbaatar development Weird expatriates in Mongolia

Blog Archive

Followers

Live Traffic