The company Oceana Gold has paid the $8 million it owed because of the international arbitration case it lost against the Salvadoran state and has announced that it has no plans to continue mining activities in the country.
With the payment of $8 million plus interest, an end has been brought to the litigation that began years ago between Pacifi Rim, now Oceana Gold, and the Salvadoran state.
A deferral has been made for a compliance panel which was requested by Panama to verify whether or not Colombia has complied with the WTO ruling in the dispute over Panamanian textile and footwear tariffs.
Laestrella.com.pa reports that "...Panama called on the World Trade Organization (WTO) to establish a panel to determine whether or not Colombia complied with the organization's ruling which put pressure on Bogotá to withdraw a tariff on imports of Panamanian textiles, clothing and footwear."
The Public Prosecutor's Office has frozen the company's property, vehicles and bank accounts, because it has not yet paid the $8 million plus interest owed from an international arbitration case which it lost to the Salvadoran State.
From a statement issued by the Attorney General of El Salvador:
The Attorney General of the Republic managed to freeze buildings, vehicles and bank accounts owned by the mining company Oceana Gold, formerly Pacific Rim, for non-payment of court costs to the State of El Salvador, under an international arbitration case initiated by the mining company with the International Center for Settlement of Investment Disputes (ICSID), which it lost and in which it was ordered to pay eight million dollars for expenses incurred by the country.
In the arbitration process a ruling was made in favor of Panama's bar on import registrations for juices that did not meet the requirements for fruit content.
The problem began in November 2015 when Panama decided to restrict the entry of nectarsfrom Guatemala for failing to comply with labeling rules and the minimum amounts of fruit that such drinks must contain under Panamanian rules.
Raising taxes exclusively on Colombian products is one of the measures that Panama could take until Colombia starts to comply with the WTO ruling.
The Panamanian government has asked the World Trade Organization (WTO) for authorization to use trade measures against Colombia, worth $210 million, equivalent to the effects that the imposition of Colombian tariffs had on the Colon Free Zone.
An end has been reached to the additional time period requested by Colombia to continue charging the 10% tariff on textiles and footwear coming from the Colon Free Zone, but it is not known whether they will continue to implement the measure.
The World Trade Organization (WTO) ruled in favor of Panama and ordered Colombia to stop charging the tariff, but despite this, the South American country extended the measure until November.
Jaguar Energy Guatemala has announced that it won the international arbitration case against China Machine New Energy Corporation, which has to pay the former entity $149 million.
According to the company, as a result of the decision from the arbitral tribunal, the power plant based on coal will remain its property, and the Chinese company will have to pay $149 million.
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Employers indicate that taking the dispute to an arbitration panel will cost many millions of dollars and will result in indemnization payments, as it is clear that trade agreements and phytosanitary standards were breached.
The announcement by the Mexican authorities to take Costa Rica to a World Trade Organization (WTO) arbitration panel because of the dispute over avocados, has caused concern among employers who are members of the Chamber of Exporters and Importers of Perishable Goods (Ceipp).
Infinito Gold is suing for $94 million lost due to violations of the agreement for the promotion and protection of investments between Costa Rica and Canada.
Industrias Infinito confirmed that its parent company, Infinito Gold, has filed a law suit against Costa Rica at the International Centre for Settlement of Investment Disputes (ICSID) seeking compensation as a result of their investments in the canceled mining project of Crucitas.
The Salvadoran President has asked the SIECA to intervene in a trade dispute with Costa Rica.
President Mauricio Funes, believes that a regional agency should resolve the trade dispute with Costa Rica, which has requested the creation of an international arbitration group. The problem, Funes said, should be resolved by the Secretariat for Central American Economic Integration (SIECA).
$300 million is being claimed for breach of contract for the project to build power generation facilities in Guatemala.
Jaguar Energy Guatemala (JEG), has instigated arbitration with the firm China Machine New Energy Corporation (CMNC). The company is claiming $300 million for violations in the construction of a 300 MW plant in Escuintla. "The arbitration has been instigated with the International Chamber of Commerce in Paris and will be effected based on the laws of New York ."
With this legislation, the country will be able to develop a new business sector and establish itself as an international center for arbitration.
Recently, the country approved a law to regulate domestic and international arbitration. This will allow Panama to position itself as an international arbitration center, thanks to its logistics development, infrastructure and connectivity.
With the upcoming implementation of the Third Central American Convention on Arbitration Centers the use of alternative methods of dispute resolution is being encouraged.
Alfredo Skinner-Klee, an expert in arbitration from the company Arenales & Skinner Klee said in an interview with Elperiodico.com.gt conducted by Lorena Alvarez: that "Arbitration has become a major institution in the trade, in international transactions and in the last 20 years resolution mechanisms via arbitration investment disputes have been enabled."
The country has the optimal geographic location, adequate infrastructure, modern legislation regarding these matters, and lawyers specializing in international commercial litigation.
According to Roman Feoli firm partner at Feoli & Co., "Panama has all the tools necessary to make this activity one of the largest in the country, all that remains is to make the decision as a country to achieve this goal and start to promote ourselves around the world. "