Emmerson PLC (AIM:EML) said the legal process to resolve its dispute with the Moroccan government over the stalled Khemisset potash project has taken a step forward.
In an update on proceedings, it confirmed that the international arbitration panel overseeing the case is now fully in place.
The London-listed mining group said the tribunal, under the auspices of the International Centre for Settlement of Investment Disputes (ICSID), held its first procedural hearing on December 16.
A timetable for the opening stages of the case has now been agreed, with Emmerson due to file its full legal claim, known as a "Memorial", by the end of March.
The Memorial will set out the company’s arguments in full, including the evidence it is relying on and the amount of compensation it is seeking. Once filed, the Moroccan government will have the opportunity to respond.
The panel is chaired by Laurent Lévy, a dual Swiss and Brazilian national, who was appointed in the final quarter of last year.
The dispute stems from a move by Emmerson’s subsidiaries (Khemisset UK Ltd and Potasse de Khemisset S.A.) to launch formal arbitration in April 2025. They allege that Morocco breached its obligations under a bilateral investment treaty signed with the United Kingdom.
Specifically, Emmerson claims that the Moroccan authorities expropriated the project in violation of international law and failed to provide fair treatment or protect the company’s investment from discriminatory measures.
The company warned there could be no certainty over the outcome of the case, but said it would provide further updates as the arbitration progresses.