International court rules in favor of Venezuela over gold mines

The Venezuelan Solicitor General's Office issued a communiqué on Thursday reporting that the International Centre for Settlement of Investment Disputes (Icsid) dismissed a claim filed by Canadian mining company Vannessa Ventures against Venezuela over an agreement to develop gold and copper deposits at Las Cristinas mines, south Venezuela.

In the ruling, the arbitration court stated that Venezuela did not breach the Venezuela-Canada bilateral agreement and concluded that Venezuela's decision to terminate the agreement and take over control of Las Cristinas mine is by no means an expropriation.

According to the official communiqué, the top court established that the relevant investment was pursuant to the contract entered into by Venezuelan and Canada. Hence, Venezuela, complied with the provisions on standard fair and equitable treatment set forth in the bilateral agreement for the Promotion and Protection of Investments.

In the claim, Vannessa Ventures sought compensation for USD 1 billion from the Venezuelan government.

Translated by Jhean Cabrera