Thursday, July 23, 2015
Gambia to pay Carnegie Minerals over US$ 22 million for breach of contract
For background information leading up to the decision by the ICSID, check here, and here. You may also want to check this blog, as well, for a complete picture of the story which will end up costing The Gambia several more million before it is all over with.
Total damages awarded to Carnegie Minerals (Gambia) Ltd, a subsidiary of Astron/Carnegie of Australia is in the region of US $ 22 million of which about $ 18 million is for breach of the mining licence by Yaya Jammeh, plus interest and arbitration costs of roughly US$ 1.5 million.
According to the Astron/Carnegie release, there is an expiry date by which a party must lodge an appeal. It is uncertain how long the Jammeh regime has to lodge an appeal, if the government will pursue the option. If not, the execution of the ICSID judgement which will certainly bankrupt an already financially distressed regime.
As regards Astron/Carnegie, it says in its release that "Astron will consider its options for enforcing the judgement against the Gambian government,"
One more reason why the Jammeh regime MUST GO and NOW.