World Bank tribunal dismisses mining firm's $250m claim against El Salvador

[Judi Lynn]

Source: Guardian

World Bank tribunal dismisses mining firm's $250m claim against El Salvador

OceanaGold ordered to pay $8m legal costs after claim that El Salvador’s refusal to let it mine gold caused huge loss in potential profits is thrown out

Claire Provost and Matt Kennard
Friday 14 October 2016 16.59 EDT

An international tribunal has dismissed a multinational mining company’s demand that the government of El Salvador pay $250m (£205m) in compensation for refusing to allow it to dig for gold in the tiny Central American country where the slogan, “No to mining, yes to life” has become a national rallying cry.

The tribunal, which ruled that OceanaGold’s case was without merit, also ordered the firm to pay the Salvadoran government $8m to cover the majority of the country’s legal costs.

“For the people of Cabanas who have been fighting to defend their environment, it is mission accomplished,” said El Salvador’s attorney general, Douglas Meléndez Ruiz. “It is an important step for the country to have been victorious in this lawsuit.”

While an OceanaGold statement expressed disappointment at the verdict, the outcome was celebrated by civil society groups from El Salvador to Canada, although they questioned why the ruling in a case dating back to 2009 had taken so long.

Read more: https://www.theguardian.com/global-development/2016/oct/14/el-salvador-world-bank-tribunal-dismisses-oceanagold-mining-firm-250m-claim

[bhikkhu]

1. This is a good example of how ISDS cases can work

Which, if one has followed the narrative, are the primary issue behind opposition to the TTP, the TTIP, and the WTO. This case is an example of how things can work right.

I've always thought that eliminating (or failing to create) the legal framework for resolving disputes between states and business interests would be a bad thing.

[dixiegrrrrl]

2. This is a good example of what TPP would have prevented!

Key feature in TPP and similar bills would be corporations suing for lost income, say like the North Dakota pipeline.

And TPTB will try to get a similar agreement passed.