Bishkek City Court has ruled against a Chinese company that claimed ownership of the Kutessay II mine project in Kyrgyz Republic, handing a big victory to Stans Energy Corporation (
TSX:V.HRE,
Stock Forum) and overturning an earlier ruling in the Inter-district court of Bishkek.
Boatou Hongbo Technology Company had brought suit against the Kyrgyz State Agency for Geology and Mineral Resources, claiming they were the legal holder of the mining licence and that it had been taken away “illegally and without notification.”
The City Court found the Chinese firm had no valid claims on the licence.
According to a
Stans Energy press release, the court decided, “Baotau had no legal basis to petition the courts as it did not acquire the original licence holder, Central Asia Metals Group, until 2013. A letter from Baotau to the Kyrgyz government indicated it knew that Central Asia Metals Group licence had been revoked and thus this was the basis for the termination of proceeding under the statute of limitations. The court found that Central Asia Metals Group failed to comply with its licence agreements from 2008 and it knew by 2010 its licence had been revoked. Finally, the City Court concluded that the original trial gravely violated substantive and procedural law that led to an unlawful and unjustified decision, which the City Court has nullified.”
Baotau can still appeal to the Supreme Court.
Stans Energy Corp. is a company focusing on Heavy Rare Earth (HRE) development in Central Asia and Russia.