Panthera Resources PLC (AIM:PAT) has provided an update regarding the arbitration between its Australian subsidiary, Indo Gold and the Republic of India.
Indo Gold and the Republic of India have now appointed arbitrators to deal with the dispute.
The dispute centres around India's alleged breach of a 1999 treaty between the governments of Australia and India concerning the Bhukia gold project.
On 26 July 2024, Panthera announced that IGPL had formally issued a Notice of Arbitration.
The Bhukia project has been a point of contention after India's 2021 amendments to its Mines and Minerals (Development and Regulation) Act, which Panthera claims revoked IGPL's preferential rights to a Prospecting Licence.
IGPL is now seeking damages from India for breaching several treaty provisions, including expropriation and unfair treatment of investments.
Panthera's subsidiary secured litigation financing of up to US$13.6 million from LCM Funding SG to pursue its claims.
The non-recourse funding ensures that repayment is contingent on a successful recovery or award in the arbitration process.