International Tribunal Orders Trafigura to Pay US$ 42,500,000, Plus Interest, to a Subsidiary of Southern Peaks Mining LP
With $2.5 trillion in mineral resources, Saudi Arabia set to become global mining hub
Saudi industrial production rises 0.3% in January driven by mining activity
First Quantum touts interest in its Zambia copper operations
Romania wins $6.7bn litigation over Rosia Montana gold mining project
Workerb s death spurs strike action at Codelcob s Radomiro Tomic mine
UK space chief flags moon mining as next conflict b gray zoneb
International Tribunal Orders Trafigura to Pay US$ 42,500,000, Plus Interest, to a Subsidiary of Southern Peaks Mining LP
LIMA, Peru, Mar. 5, 2024 (Korea Bizwire) b Southern Peaks Mining LP is pleased to advise that an international arbitration tribunal has ordered Urion Mining International B.V. (b Urionb ) to pay its subsidiary, Ariana Management Corporation, S.A.C. (b Arianab ) an amount of US$ 42,500,000, plus interest, as a result of breaches to the 14 June 2013 Sale and Purchase Agreement entered into between Ariana and Urion concerning the acquisition of the Condestable mine (b SPAb ). As per the terms and conditions of the SPA, Trafigura Beheer B.V. is jointly and severally liable for the payment obligation, including interest.
In 2021, Ariana referred its SPA dispute with Urion to international arbitration at the Chamber of Commerce of Lima. The dispute arose out of breaches of certain tax related representations and warranties and Urionb s duty to indemnify Ariana.
On 29 February 2024, the Arbitral Tribunal issued its award confirming that Urion had breached its contractual obligations and ruled that Urion has to pay Ariana US$ 42,500,000, plus interest. Under the terms of the SPA, no appeal is admissible.
Southern Peaks Mining LPb s CEO, Mr. Adolfo Vera, commented on the Tribunalb s decision:
b We are pleased that the Tribunal granted a proportion of our claims. With the assistance of our counsel team from Clifford Chance DC, we have achieved a satisfactory outcome and look forward to receiving prompt payment.b
With $2.5 trillion in mineral resources, Saudi Arabia set to become global mining hub
Saudi Arabia's Vision 2030 serves as the driving force behind the nation's strategic endeavors in the mining industry
With $2.5 trillion in mineral resources, Saudi Arabia is committed to becoming a mining, mineral production and manufacturing hub. Eng. Khalid bin Saleh Al-Mudaifer, vice minister of the ministry of industry and mineral resources for mining affairs, underscored the nationb s ambitious plans aligned with Vision 2030. This came during Al-Mudaiferb s participation in the Global Metals, Mining, and Critical Minerals Conference in Miami. Al-Mudaifer outlined the Kingdomb s efforts to diversify its economy and position itself as a global leader in the mining sector.
Initiatives driving growth
Al-Mudaifer emphasized that Saudi Arabiab s Vision 2030 serves as the driving force behind the nationb s strategic endeavors in the mining industry. He noted that the Kingdom has taken several steps to develop the mining sector. This includes implementing many initiatives to create an environment that fosters the development of the sector.
Saudi industrial production rises 0.3% in January driven by mining activity
In January, manufacturing activities in the Kingdom increased by 1.1 percent compared to December 2023, according to the General Authority for Statistics, while mining and quarrying activities saw a 0.1 percent rise.
RIYADH: Saudi Arabiab s Industrial Production Index recorded a 0.3 percent monthly increase in January, propelled by a marginal rise in mining and quarrying activity, official data showed.
In January, manufacturing activities in the Kingdom increased by 1.1 percent compared to December 2023, according to the General Authority for Statistics, while mining and quarrying activities saw a 0.1 percent rise.
The increase in manufacturing activities in January was fueled by a 1.7 percent surge in the production of coke and refined petroleum products.
GASTAT reported a 1 percent increase in water supply, sewage, waste management, and remediation activities in January compared to the previous month.
On the other hand, there was a 9.6 percent decrease in electricity, gas, steam, and air-conditioning supplies in January compared to December 2023.
First Quantum touts interest in its Zambia copper operations
First Quantum Minerals Ltd. has attracted interest from multiple parties wanting to buy a minority stake in its Zambian copper operations, as the Canadian miner continues efforts to shore up its balance sheet.
First Quantumb s 80%-owned Kansanshi mine in Zambia is Africab s largest copper operation
First Quantum has signed non-disclosure agreements with several groups interested in the African mines, and expects to soon provide access to a data room for due diligence, said First Quantum Chairman Robert Harding. He didnb t specify details about the parties or a timeline for signing a potential deal.
Talks to sell a minority stake in the Zambian business are underway as the company faces pressure to strengthen its balance sheet and raise cash following the closure of its flagship copper mine in Panama. The firm sold about $1.15 billion in stock and raised $1.6 billion from a notes offering last month, and it has said it may look at selling smaller mining assets.
Romania wins $6.7bn litigation over Rosia Montana gold mining project
The Arbitral Tribunal of the World Bankb s settlement centre ICSID has rejected all the claims against Romania by Canada-registered Gabriel Resources, which accused the Romanian government of expropriating its investments in the Rosia Montana gold mining project and breaching two bilateral foreign investment agreements, with the UK and Canada.
Gabriel Resources sued Romania at the World Bankb s ICSID back in 2015, citing $4.4bn losses incurred as a result of Romaniab s denial of the environmental documents necessary for the development of the project.
The ruling, adopted with a majority of two out of three votes, is final.
Gabriel Resources also has to pay Romania nearly $10mn to compensate the countryb s expenditures with legal fees.
b The tribunal took into account the multiple environmental, social, cultural and economic challenges faced by the mining project, finding that the Romanian authorities fulfilled their regulatory mandate b as best they could in these difficult circumstancesb ,b the team of lawyers who represented Romania explained.
The ruling in full is expected after some 20 days and Romanian Prime Minister Marcel Ciolacu insisted on full disclosure of non-confidential information related to the case.
One of the members of the Romanian law firm defending the government, Leaua, Damcali, Deaconu, PDunescu (LLDP), Crenguta Leaua, said that the decision b confirms that Romania has observed its obligations towards the foreign investor, as provided by the mutual protection treaties of investmentsb .
Workerb s death spurs strike action at Codelcob s Radomiro Tomic mine
Following the death of Ana Camila Rojas FarC-as in an accident on March 8, unionized workers blocked Codelcob s Radomiro Tomic copper mine in northern Chile.
According to local media, the mine workers blocked the entrance road to the deposit and completely stopped production, in a strike that will be indefinite, according to Ricardo TorrejC3n, president of the Radomiro Tomic union.
TorrejC3n said that the strike aims to bring attention to the b serious safety issues and the lack of equipment maintenanceb taking place at the operation. In his view, this was the cause of Rojas FarC-asb accident.
The 30-year-old woman was operating an extraction truck Friday afternoon when it suddenly caught fire.
Police and authorities from the National Geology and Mining Service are still investigating the causes of the accident but have yet to share their findings.
The Antofagasta Labor Directorate, on the other hand, issued an order suspending the use of extractor trucks.
Although Codelco self-suspended operations on Saturday, the supervisory agency extended this measure so that it not only related to the work area but also to the driving of heavy machinery. This interruption will be reassessed once the expert assessment of the damaged truck is completed.
UK space chief flags moon mining as next conflict b gray zoneb
FARNBOROUGH, England b Mining rare minerals on the moon could mark a new area of competition in space, though itb s too early tell whether the prospect would entail military involvement, according to the U.K.b s top military officer for space.
A scenario of nations jumping on lunar mining to refill their dried-up, terrestrial stocks has the potential for gray zone conflict, the kind of amorphous contest that transcends traditional notions of two warring parties shooting at each other, Air Vice-Marshal Paul Godfrey said at the Space Comm Expo trade show here.
For now, there is no commercial proposition for what Godfrey likened to a science fiction version of the U.S. Gold Rush of the nineteenth century.
b The cost of getting to the moon, creating a lunar base, extracting the minerals and getting them back to earth probably far outweighs mining precious minerals on the Earth,b he told Defense News in an interview.
Itb s also still unclear exactly what types of rare-earth metals, critical in producing high-tech components, exist under the lunar surface. On Earth, China is a critical supplier of such ingredients. European and NATO nations are eager to diversify their supply chain as they view Beijing as an unreliable partner politically.
