Moscow City Arbitrazh Court Sets Aside Stans Arbitration Decision on Procedural Grounds
Toronto, Ontario (FSCwire) - Stans Energy Corp. (TSX-V: HRE, OTCQX: HREEF), (“Stans” or the “Company”) announces that an oral decision was made on April 29, 2015 in the Moscow City Arbitrazh Court (the “City Court”) in the Kyrgyz Republics’ case against the Company. The Company understands that the City Court ordered that the Moscow Chamber of Commerce and Industry’s decision in favour of Stans in its’ arbitration claim against the Kyrgyz Republic be set aside on procedural grounds. The City Court has advised counsel that the written order with reasons will be provided within five business days. A detailed press release will be provided following receipt and review of the written order and the reasons given.
In the meantime the Mareva injunction, arresting approximately 47,000,000 Centerra Gold shares remains in place in Canada. Kyrgyzaltyn (“KJSC”), the beneficial owner of the Centerra Gold shares, will be seeking to set aside the Mareva injunction at a previously scheduled May 15, 2015 appeal.
Stans’ current intention is to appeal the decision of the City Court. Until that appeal is heard, the decision of the City Court does not come into effect.
Stans continues to seek the enforcement of its US$ 118 million award at the Ontario Court of Justice, which remains scheduled for June 29, 2015. See also notes below.
Neither 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.
Contact Details
Rodney Irwin
Interim President & CEO
rodney@stansenergy.com
647-426-1865
David Vinokurov
Stan Energy Corp
VP Corporate Development
david@stansenergy.com
647-426-1865
NOTES: If the Kyrgyz Republic is successful in the hearing on the merits of its application to set aside the award of MCCI, it is possible the Ontario courts could also conclude that there is no enforceable arbitral award to recognize, despite the positions we have stated herein. In that case, Stans could be subject to cost consequences in the Ontario court, and which could be significant. If Stans were forced to seek a new arbitral award in a different forum, there would be significant cost and delay to Stans. It is also possible that the Ontario courts could vacate the Mareva injunction, if the Ontario courts are not convinced other grounds to maintain the Mareva injunction exist, in which event, there is serious risk that the Kyrgyz Republic could dispose of its Canadian exigible assets before Stans could have a chance to obtain a new arbitral award against the Kyrgyz Republic, and Stans could be exposed to significant costs indemnity consequences.
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/stans04302015.pdf
Source: Stans Energy Corp. (TSX Venture:HRE) www.stansenergy.com
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