Sarama pursues arbitration over Sanutura project expropriation
TSX-V- and ASX-listed Sarama Resources has officially initiated arbitration proceedings against Burkina Faso over the expropriation of its Sanutura project.
The company seeks compensation for the loss and damages caused by actions and omissions of the Burkina Faso government, estimating claims of A$180-million. A quantum expert will be appointed during the arbitration to prepare a detailed damages assessment for the tribunal's review.
The arbitration has been initiated under the International Centre for Settlement of Investment Disputes, a division of the World Bank Group, following Sarama’s submission of a request for arbitration (RFA). The RFA outlines the preliminary case details and procedural considerations, marking the formal beginning of the arbitration process.
This move follows Sarama’s establishment of a non-recourse litigation funding facility of A$6.7-million to support the legal proceedings.
Sarama has engaged Boies Schiller Flexner (UK), a globally recognised law firm specialising in international investment arbitration within the mining and natural resources sectors. Sarama states that the firm brings extensive expertise in representing investors in disputes of this nature.
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