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Business & Finance

ICSID stay order a ‘great relief’ for Pakistan: Bajwa

  • “Reko Diq: Stay order by World Bank tribunal on $ 6Bn award versus Pakistan is great relief,” said Bajwa in a tweet post on Friday.
Published September 18, 2020

Chairman China Pakistan Economic Corridor (CPEC) Authority Lt Gen (retd) Asim Saleem Bajwa has termed the World Bank’s International Center for Settlement of Investment Disputes (ICSID) decision to grant a stay on the enforcement of the $6 billion awards issued against Pakistan in the Reko Diq dispute as a ‘great relief’.

“Reko Diq: Stay order by World Bank tribunal on $ 6Bn award versus Pakistan is great relief,” said Bajwa in a tweet post on Friday.

“Meanwhile, PM directs to fully support the Government of Balochistan for accelerated development of the mineral sector in a transparent manner, structured system, best technology, involve local investors, develop own Human Resource,” he added.

A similar statement was given by Senator Faisal Javed Khan. “This comes across as a great success and major relief for Pakistan Alhamdulillah,” he said.

The statement comes as World Bank’s ICSID grants a stay on the enforcement of the $6 billion award issued against Pakistan in the Reko Diq dispute. This is a success for Pakistan and its legal team said a statement issued by Attorney General for Pakistan’s office

The World Bank's ICSID on July 13, 2019, announced a 700-page judgment regarding a $5.976 billion (Rs 944.21 billion) award against Pakistan in the Reko Diq case. The ICSID award includes a $4.08 billion penalty and $1.87 billion in interest to Tethyan Copper Company (TCC), a joint venture between Chile's Antofagasta Plc and Canada's Barrick Gold, the Chilean miner.

In 2012, TCC filed claims for international arbitration before the ICSID of the World Bank, after the Balochistan government turned down a leasing request from the company.

Former chief justice Iftikhar Muhammad Chaudhry in the Maulana Abdul Haque vs Government of Balochistan held that the "Chagai Hills Exploration Joint Venture Agreement" (CHEJVA) signed between the Balochistan Development Authority (BDA) and Broken Hill Properties Minerals Intermediate Exploration Inc. (BHP) in 1993 was void ab initio.

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