Stans Energy Corp. (TSX-V: HRE, OTCQX: HREEF), (“Stans” or the
“Company”) is pleased to report that the Arbitration Court at the Moscow
Chamber of Commerce and Industry (the “Court”) has concluded its final
hearings in the matter between the Company and the Government of the
Republic of Kyrgyzstan. In this matter, the Court has ruled in favour of
Stans Energy Corp.
The Court will now prepare a written ruling, which will detail the
verdict and the final damage amount. This process may take up to three
months. Once Stans will receive the written ruling, the Company will
issue a release outlining those details.
In the interim period before the final damage amount is announced, the
Company intends to continue negotiating a settlement with the
inter-departmental working group of the Kyrgyz Government as previously
announced by the Company on February 6th, 2014.
“Stans Energy and its subsidiaries have always conducted operations to
the highest standards of international ethical and business practices.
This ruling validates our position as open and honest business partners
for the Kyrgyz Republic. It is our hope that we can now engage the
Government of the Kyrgyzstan in sincere discussions whereby we can
resolve all the outstanding issues in Kyrgyzstan and resume development
of Kutessay II. We are committed to working with the Kyrgyz authorities
to negotiate an amicable solution that will allow the Company to resume
work, increase employment opportunities for the communities in which
operate and to ultimately benefit all stakeholders involved in the
project. I would like to take this opportunity to congratulate our legal
team lead by Professor Igor Zenkin, who presented a well-considered and
well advocated claim on the Company’s behalf,” states Interim-President
and CEO, Rodney Irwin.
BACKGROUND
On October 30, 2013, Stans Energy Corp. and its subsidiaries filed a
claim for arbitration under the Convention for the Protection of
Investor’s Rights to which Kyrgyzstan is a signatory. The arbitration
hearings are being heard in the Arbitration Court at the Moscow Chamber
of Commerce and Industry. The Company claims that certain actions by
agencies and/or representatives acting on behalf of the Government of
the Republic of Kyrgyzstan were aimed to impede the Company from
executing its responsibilities under its licence and have created
conditions for termination of the operations of Kutisay Mining LLC, the
Company’s wholly owned subsidiary, amounting to expropriation.
The claim seeks $117,853,000 in compensation for losses and damage.
About Stans Energy
Stans Energy Corp. is a resource
development company focused on progressing Heavy Rare Earth (HRE)
properties in areas of the Former Soviet Union. In December 2009, Stans
acquired a 20-year mining license for the past-producing Kutessay II
rare earth mine from the Kyrgyz Republic. On May 26, 2011 Stans
completed the purchase of the Kashka Rare Earth Processing Plant (KRP)
the same plant that previously refined REEs historically from Kutessay
II. The KRP was the only hard rock plant to produce all rare earth
elements outside of China, producing 120 different metals, alloys, and
oxides. For over 30 years, Kutessay II produced 80% of the rare earth
metals for the former Soviet Union.
We seek safe harbour.
Contact Details Rodney Irwin Stans Energy Corp Interim
- President & CEO 647-426-1865
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David Vinokurov Stans Energy Corp VP Corporate
Development 647-426-1865
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www.stansenergy.com
FORWARD LOOKING STATEMENTS: This document includes forward-looking
statements as well as historical information. Forward-looking statements
include, but are not limited to, use of proceeds from the Offering, the
completion of the Offering, the continued advancement of the company's
general business development, research development and the company's
development of mineral exploration projects. When used in this press
release , the words “will”, “shall”, "anticipate", "believe",
"estimate", "expect", "intent", "may", "project", "plan", "should" and
similar expressions may identify forward-looking statements. Although
Stans Energy Corp. believes that their expectations reflected in these
forward looking statements are reasonable, such statements involve risks
and uncertainties and no assurance can be given that actual results will
be consistent with these forward-looking statement. Important factors
that could cause actual results to differ from these forward-looking
statements include the potential that fluctuations in the marketplace
for the sale of minerals, the inability to implement corporate
strategies, the ability to obtain financing and other risks disclosed in
our filings made with Canadian Securities Regulators.
Copyright Business Wire 2014