Relating to Reko Diq disputes, Pakistan is trying to negotiate a settlement with Tethyan Copper of $5.8 billion.
Last year, the World Bank’s International Centre for Settlement of Investment Disputes (ICSID) ordered Pakistan to pay damages of $5.84 billion to Tethyan Copper – a joint venture between Chile’s Antofagasta and Canada’s Barrick Gold – for blocking Tethyan from developing the asset after it had already sunk more than $220 million into the project.
We have been engaged in negotiations with parties involved in the Reko Diq dispute,Official Statement from Pakistan
The stakeholders are already in talks for an extended period since Tethyan last year expressed willingness to explore a negotiated settlement.
Berecorder shared further news about this dispute; Law360, a legal news service, this week reported that Tethyan had been given the go-ahead by ICSID to collect half of the arbitration award.
Having to pay out the award would wipe out nearly half of Pakistan’s foreign exchange reserves as the country contends with the pandemic-driven economic crisis.
Reko Diq, located in the southwestern province of Balochistan, is one of the world’s biggest untapped copper and gold deposits. The development of the asset has been stalled for nearly a decade by the long-running dispute.