Trading symbol (TSX-V): RML
VANCOUVER, March 14, 2018 /CNW/ - On
August 16, 2017, an arbitration
tribunal convened under the Canada-Venezuela Bilateral Investment
Treaty found that the Republic of Venezuela had unlawfully expropriated the gold
mining assets of Rusoro Mining Ltd.
("Rusoro"), a Canadian mining corporation. The
arbitral tribunal ordered Venezuela to compensate Rusoro in the amount
of US$967.77 million, plus
interest. With interest, the total amount due today is in
excess of US$1.3 billion.
Venezuela has refused to pay any
portion of the award. As a result, Rusoro commenced
litigation in the U.S. District Court for the District of Columbia to convert the award to a
U.S. judgment that can be executed against Venezuela's assets. Venezuela contested this proceeding, claiming
that the arbitral tribunal exceeded its authority in making the
award. On March 1, 2018, the DC
court ruled in Rusoro's favour, rejecting all of Venezuela's defenses and holding that the
award was valid and enforceable in the United States. The DC
court entered judgment for the full amount of the award, plus
interest.
While Rusoro would prefer a consensual resolution of its dispute
with Venezuela, it will take all
measures available to it to enforce the award and, if necessary, to
seize Venezuelan assets in order to satisfy its claims. U.S.
law entitles Rusoro to broad discovery concerning Venezuelan state
assets around the world, and it will move to take that discovery
now that the DC court has entered judgment. A treaty, known
as the Convention on the Recognition and Enforcement of Foreign
Arbitral Awards, allows Rusoro to enforce its award in over 140
countries; in addition to the United
States, Rusoro has obtained a judgment in Canada and has commenced enforcement
proceedings in England. Based on the information obtained
through judicial discovery, Rusoro will pursue enforcement against
Venezuela in any other country
where it maintains assets until the award has been satisfied in
full.
ON BEHALF OF THE BOARD
"Andre Agapov"
Andre Agapov, President &
CEO
Forward-looking statements:
This document contains statements about expected or
anticipated future events and financial results that are
forward-looking in nature and as a result, are subject to certain
risks and uncertainties, such as general economic, market and
business conditions, the regulatory process and actions, technical
issues, new legislation, competitive and general economic factors
and conditions, the uncertainties resulting from potential delays
or changes in plans, the occurrence of unexpected events, and the
Company's capability to execute and implement its future plans.
Actual results may differ materially from those projected by
management. For such statements, we claim the safe harbour for
forward-looking statements within the meaning of the Private
Securities Legislation Reform Act of 1995.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Rusoro Mining Ltd.