Silver is a common co mineral with gold and most gold mines would also produce silver. In primary ore (that is ore in the original rock and not reworked by erosion) gold commonly accompanies copper and some other minerals. For example the Escondida copper mine in Chile is also one of the world’s largest producers of gold. At the Olympic Dam mine in Australia, copper, gold and uranium are present in the ore and each makes a comparable contribution to value.
Because gold is inert to chemical action by rainwater and air, or nearly so, grains of gold persist and concentrate in the soil as other minerals are weathered away. When the products of weathering are removed by flowing fill up and redeposited as sediments, gold can become concentrated in placer deposits. These placer deposits will often contain other minerals. For example the gold reefs in South Africa, which are ancient placers, often contain uranium as well as silver. The mineral sands on the beaches of Eastern Australia contain tiny amounts of gold and platinum along with titanium and zirconium minerals. Most river gold deposits would contain magnetite, rutile and other resistant heavy minerals. Diamond placer deposits often also contain tiny amounts of gold, but gold is not a significant component of kimberlite, the diamond fund rock. Tiny Size rubies are found in the gold sands of Cudgegong River and its tributaries near Mudgee in NSW in Australia.
DUBAI/ISLAMABAD: When on Nov 3 last year the first Reko Diq story was published in The News, we had absolutely no idea that in less than a year the largest gold mining company in the world will be running out of Pakistan, rushing to an international court of arbitration in New York, London or Washington DC.
This is exactly what is about to happen as Tethyan Copper Company (TCC), a Pakistani name for Canadian giant Barrick Gold, which claims to have the world’s largest un-hedged gold production, the biggest gold reserves, billions of dollars in market capitalisation, over 20,000 employees and operates 26 gold mines, has almost given up its court battle inside Pakistan.
When we broke the Reko Diq story, it caught the attention of everyone and the Supreme Court moved in. All hell then broke loose, as the case became a landmark test for the global mining industry, which is still waiting for the final verdict. But many things have changed during the trial as many facts were concealed from the apex court.
Top-notch lawyers earned millions upon millions while pitched against pro-bono petitioners. Yet when events unfolded, the SC judges and the world became aware of the intensity and magnitude of the issue, which revolved around the loot sale of gold and copper mines worth $260 billion at throwaway rates.
After months, the company was last month confronted with reality as finally the Quetta government decided to reveal the truth, only some of it, forced by a deadline given by the Supreme Court of Pakistan to decide whether TCC was to get the mining licence or not, by Sept 22, 2011.
The Government of Balochistan issued a gazette notification on Sept 21 raising all kinds of legal objections, 10 in total, dating back to 1993 when the original Australian mining company had been issued the land leases and three exploration licences EL-5, EL-6 and EL-8 which were issued in 2002.
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
This is exactly what is about to happen as Tethyan Copper Company (TCC), a Pakistani name for Canadian giant Barrick Gold, which claims to have the world’s largest un-hedged gold production, the biggest gold reserves, billions of dollars in market capitalisation, over 20,000 employees and operates 26 gold mines, has almost given up its court battle inside Pakistan.
When we broke the Reko Diq story, it caught the attention of everyone and the Supreme Court moved in. All hell then broke loose, as the case became a landmark test for the global mining industry, which is still waiting for the final verdict. But many things have changed during the trial as many facts were concealed from the apex court.
Top-notch lawyers earned millions upon millions while pitched against pro-bono petitioners. Yet when events unfolded, the SC judges and the world became aware of the intensity and magnitude of the issue, which revolved around the loot sale of gold and copper mines worth $260 billion at throwaway rates.
After months, the company was last month confronted with reality as finally the Quetta government decided to reveal the truth, only some of it, forced by a deadline given by the Supreme Court of Pakistan to decide whether TCC was to get the mining licence or not, by Sept 22, 2011.
The Government of Balochistan issued a gazette notification on Sept 21 raising all kinds of legal objections, 10 in total, dating back to 1993 when the original Australian mining company had been issued the land leases and three exploration licences EL-5, EL-6 and EL-8 which were issued in 2002.
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
When we broke the Reko Diq story, it caught the attention of everyone and the Supreme Court moved in. All hell then broke loose, as the case became a landmark test for the global mining industry, which is still waiting for the final verdict. But many things have changed during the trial as many facts were concealed from the apex court.
Top-notch lawyers earned millions upon millions while pitched against pro-bono petitioners. Yet when events unfolded, the SC judges and the world became aware of the intensity and magnitude of the issue, which revolved around the loot sale of gold and copper mines worth $260 billion at throwaway rates.
After months, the company was last month confronted with reality as finally the Quetta government decided to reveal the truth, only some of it, forced by a deadline given by the Supreme Court of Pakistan to decide whether TCC was to get the mining licence or not, by Sept 22, 2011.
The Government of Balochistan issued a gazette notification on Sept 21 raising all kinds of legal objections, 10 in total, dating back to 1993 when the original Australian mining company had been issued the land leases and three exploration licences EL-5, EL-6 and EL-8 which were issued in 2002.
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Top-notch lawyers earned millions upon millions while pitched against pro-bono petitioners. Yet when events unfolded, the SC judges and the world became aware of the intensity and magnitude of the issue, which revolved around the loot sale of gold and copper mines worth $260 billion at throwaway rates.
After months, the company was last month confronted with reality as finally the Quetta government decided to reveal the truth, only some of it, forced by a deadline given by the Supreme Court of Pakistan to decide whether TCC was to get the mining licence or not, by Sept 22, 2011.
The Government of Balochistan issued a gazette notification on Sept 21 raising all kinds of legal objections, 10 in total, dating back to 1993 when the original Australian mining company had been issued the land leases and three exploration licences EL-5, EL-6 and EL-8 which were issued in 2002.
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
After months, the company was last month confronted with reality as finally the Quetta government decided to reveal the truth, only some of it, forced by a deadline given by the Supreme Court of Pakistan to decide whether TCC was to get the mining licence or not, by Sept 22, 2011.
The Government of Balochistan issued a gazette notification on Sept 21 raising all kinds of legal objections, 10 in total, dating back to 1993 when the original Australian mining company had been issued the land leases and three exploration licences EL-5, EL-6 and EL-8 which were issued in 2002.
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
The Government of Balochistan issued a gazette notification on Sept 21 raising all kinds of legal objections, 10 in total, dating back to 1993 when the original Australian mining company had been issued the land leases and three exploration licences EL-5, EL-6 and EL-8 which were issued in 2002.
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
The objections confirm that government leaders and officials knew everything but were living with all kinds of illegalities, not just ignoring violations but condoning corporate atrocities. Politicians and top officials, including ministers and even a chief minister, have been visiting Chile, Australia and Canada on gold mining junkets, literally. Things were done as if there were no laws and there was no need for such laws. The company, however, denied facilitating top officials.
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Now the time has come to get some serious confessions and correct some wrongs, thanks to the Supreme Court of Pakistan. This is all the more important because the TCC has decided to go the legal route of arbitration and Pakistan too has to prepare its case properly.
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Why TCC has now adopted the legal route to prepare the ground for international arbitration is also becoming clear. The company’s chief Tim Livesey, the fifth CEO in five years (a record of some sorts), conceded the following in a Reuters interview recently: “The points (10 objections) varied from raising concerns over the validity of our company registration to raising concerns over the quality of the exploration and feasibility study,” Livesey said. “It was immediately clear to us that we could not understand their position on some of these issues,” he said, adding that some of the objections were in contravention of existing agreements.
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
“It is my feeling that there is a degree of confusion. I am very hopeful we will meet … and I hope we can resolve (the dispute),” Livesey said as his company sought 60 days for responding to the objections raised by GoB but was refused.
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Then Livesey filed a “Notice of Dispute” which gives the two sides four months to talk and resolve their differences or he threatened he will then go into international arbitration.
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
It is, however, easier said than done.
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Experts say international courts cannot force Pakistan to award the licence to a claimant but TCC could only seek compensation for the cash already invested and loss of future earnings. How that would be calculated is a long and never-ending process in which TCC will have to prove that its estimates of the total gold and copper were not exaggerated nor grossly understated, the expenses were real and not cooked up and profits would have come in the amounts claimed.
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
“This will put TCC in a self-defeating situation as initially it under-estimated and under-reported the reserves saying the project would yield only $50 billion over its life, minus the expenses, whereas independent figures of the size range from $150 billion to $260 billion,” said a mining analyst. Mindfund.com, a credible international magazine, placed Reko Diq as the third largest gold and copper project in the world, behind Pebble (Alaska, US) and Oyu Tolgoi (Mongolia), with an estimated output of at least $150 billion (see chart).
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
The GoB in its Sept 21 gazette notification for the first time conceded that TCC had violated many laws. GoB ultimately raised the same objections which had been highlighted in detail in the first report in The News on Nov 3, 2010.
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Most important of these was that TCC had drilled over 300,000 meters in not just EL-5, which was the main area it was granted, but in many adjoining areas but had not disclosed anything about the results to either the Balochistan government or the Supreme Court of Pakistan.
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
“They clandestinely drilled for miles and never shared the results of this extra drilling, neither they mentioned it in the Feasibility Study submitted to GoB,” said an official. This was confirmed by the Balochistan government notification.
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
This ultimate truth has also put the Balochistan government in a legal bind which it will find hard to explain to the Supreme Court. A pro-bono petitioner, advocate Tariq Asad told The News that it was “criminal negligence” and “breach of trust” on the part of the GoB that it intentionally hid such an important information from the Supreme Court despite the fact that it knew each and everything as reflected in the Sept 21 notification.
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Tariq said: “Now when the Balochistan government has come on record and in this notification unearthed many revealing facts about TCC and its past record, it will be quite easy for the apex court to reach a decision.”
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
A former Advocate General of Balochistan also confirmed to The News that the objections being raised by the GoB now were never placed before the SC during the proceedings, as he was then representing the province and he was never told to raise these objections against TCC.
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
But now that truth has only partially been revealed, it is for the SC to find out who sold the country and at what price, by getting to the bottom of facts and find the reality — the reality of how concession after concession was given to TCC on 100 percent ownership basis and the paltry 25 percent share of Balochistan was also doled out. How TCC was allowed to grab lands of other companies and build airstrips where planes landed and took off without any government or civil aviation monitoring. Why facts were concealed from the SC. Why Mining Secretary Mushtaq Raisani went to Canada while SC was conducting the proceedings. Why in early 2008 Chief Minister Jam Yusuf and BDA Chairman Farooq Ahmed stayed for 21 days in Santiago and Toronto, headquarters of these mining giants. Why on their return more lands were given to these mining companies. How the ex-BDA chief is enjoying a posh lifestyle in Dubai and once took 20 people with him for Hajj.
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Those who know say the SC must summon former chief minister Jam Yusuf, Farooq Ahmed of BDA, Maqbool Ahmed, Secretary Mining GoB, Col Sher Khan of TCC (this fellow can really spill the beans by tons as he has been the point man for all good, the bad and the ugly things that happened), Tehsildar Mubashir of Chagai (who handled land records), TCC CEO Tim Livesey, who has been Barrick’s point man for over five years, and another Chilean official in Islamabad.
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
The most important fact to be determined is what the TCC actually found when it drilled hundreds of thousands of meters in and around Reko Diq. The results of those 300,000 drilled meters are the sole property of Pakistan, but not yet disclosed.
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Experts say any known international geological surveyor company could be asked to perform a “Due Diligence Study”, audit the TCC accounts and data and reveal the secrets. For a million dollars or two, Pakistan would know the real worth of Reko Diq and then the Government of Pakistan should invite international bids and assure bidders giving them solemn, sovereign guarantees of safety and security of their assets and investments. Let then the job begin.
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
This will only be half of the job of the apex court. The other half would be to lay a solid foundation of Pakistan’s defence in any future arbitration case in ICSID Convention, the World Bank sponsored dispute resolution forum, where TCC can or will take its case. The buzz is that TCC will ask for $500 million in expenses and about $56 billion in loss of profit.
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
But it has to cross many legal hurdles in Pakistan before it can even file a case. And decisions take years to come. The main obstacle would be a Supreme Court judgment in the Hubco case in which the apex court in the year 2000 upheld the judgment of a lower Pakistani court restraining Hubco from proceeding with an ICC arbitration in London against Wapda and the Government of Pakistan.
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
The legal ground of the SC verdict was that Wapda and GOP (the respondents) had levelled allegations of fraud, illegality and corruption against Hubco for getting a favourable agreement under which the arbitration case was being filed. The SC said these violations, fraud and illegalities “precluded the arbitration of the dispute as matter of public policy.” The SC order had brought the Hubco-GOP arbitration to a halt and the dispute was subsequently settled out of court.
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
TCC will thus have to clear itself from the charges that it did not resort to fraud, illegality and corruption in obtaining the exploration licences on 100 percent basis, in getting 30-year surface rights on EL 5 and on EL 24 in the first place, besides answering other objections.
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
The Balochistan charge sheet against TCC in its notification of Sept 21 has made this extremely difficult, if not impossible. Still the SC has to bring out the proof that TCC was involved in all these crimes. Once this is done, TCC will have no case, anywhere.
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
When TCC was asked to respond to some of these issues, spokesperson Samia Ali Shah gave this response: “TCC can confirm that no additional blocks for exploration or any other purpose have been acquired after Nov 2010. TCC categorically denies that it has ever lied or made any misrepresentations before the honourable Supreme Court of Pakistan. All the issues and matters pertaining to the Reko Diq case were discussed in the proceedings which along with the replies filed by TCC are part of the public record and can be accessed by anyone. Moreover, facts of the case have been discussed in detail by the honourable court in the interim order of May 25th, 2011. TCC would not like to further comment as the case is still pending at the Supreme Court.”
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
One mystery will, however, remain: Why did President Zardari sign The Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act 2011 on July 15, 2011 to ratify the ICSID convention after 45 years. It binds Pakistan to international arbitration. Ahmad Noorani and Usman Manzoor contributed to this report from Islamabad
Reko Diq Gold & Copper Reserves – Biggest Conspiracy Against Pakistan – Naveed Taj Ghouri
http://www.bashaoorpakistan.com/blogs/naveed-taj-ghouri/reko-diq-gold-copper-reserves-biggest-conspiracy-pakistan/
Naveed Taj Ghouri
The current turmoil in Pakistan, thousands of journalists, attorneys, opposition leaders and human rights NGO members, has thus far not impacted the Antofagasta/ Barrick Reko Diq joint venture advanced exploration project. A conspiracy to gain 75% of all the reserves, gold, copper and whatever they find….
Update: People who wondering why US is so much after Balochistan Area and why now talking about Drones at Quetta, because its all business and game for reserves of Balochistan. Read the exclusive Urdu Report which has been already published in BTC IBITIANS.com (Urdu)
America is After Reko Diq Balochistan Gold Reserves – Exclusive Report
Reko Diq is a small town in Chagai District, Balochistan, Pakistan, in a desert area 70 kilometres north west of Naukundi, near to the Iran-Afghan border.
Reko Diq, also the name of an ancient volcano, literally means sandy peak, but this is something of a misnomer. It could be called Tangav Diq, or gold peak, because according to development expert Syed Fazl-e-Haider, below the sands lie some 12.3 million tons of copper and 20.9 million ounces of gold. The copper-gold deposits at Reko Diq are believed to be even bigger than those of Sarcheshmeh in Iran and Escondida in Chile.
What is Reko Diq Project?
The Reko Diq project is a large copper-gold porphyry resource on the Tethyan belt, located in the dry desert conditions of southwest Pakistan within the remote and sparsely populated province of Baluchistan. The Tethyan belt is a prospective region for large gold-copper porphyries.
Reko Diq is a giant copper and gold project in Chaghi. The main license (EL5) is held jointly by the Government of Balochistan (25%), Antofagasta Minerals (37.5%) and Barrick Gold (37.5%).
Actually Barrick has a 50% interest in Tethyan Copper Company (the other 50% is owned by Antofagasta plc), which has a 75% interest in the Reko Diq project and associated mineral interests (for a resulting 37.5% interest in Reko Diq).
As of December 31, 2008, Barrick’s share of measured and indicated and inferred gold resources are 8.5 and 8.4 million ounces respectively. Barrick’s share of measured and indicated and inferred copper resources are 11.5 and 8.5 billion pounds respectively.
A further 14 mineralized porphyry bodies are known to exist, with the potential to place the Reko Diq Project among the largest undeveloped copper resources on the globe.
The TCC has estimated annual production 200 to 500 million copper tones from the project. The Company started the Reko-Diq copper project in 2003 with an investment of US $130 million. The project is faced with acute shortage of water for having no surface flow. The expected mining operations in Reko Diq will depend on sub-surface water with the exploration of underground water potential in the region being a pre-requisite for any mining project.
The Real Face of Barrick Gold:
In a reader poll conducted by the Censored News blog; Readers, primarily Indigenous Peoples, voted Monsanto as the second Worst Company in the World. Peabody Energy Corp., recently granted a life of mine permit to expand coal mining on Navajo and Hopi lands, was voted the third Worst Company in the World.
Barrick Gold Corp., which began the destruction of the Western Shoshone’s Mount Tenabo region during Thanksgiving, was voted the fourth Worst Company in the World. Blackwater Worldwide, responsible for murders and brutality worldwide, was voted the fifth Worst Company in the World.
Barrick Gold, responsible for the deaths of Indigenous Peoples around the world, began its onslaught on the sacred lands of the Western Shoshone at Mount Tenabo during the Thanksgiving holidays. Before leaving office, President Bush Sr. made it possible for Barrick to lease lands for gold mining in Nevada. Once out of office, Bush Sr. went to work for Barrick as a senior consultant.
Protestors gathered outside of Barrick Gold’s annual general meeting last year to show their solidarity with the affected indigenous community representatives who were inside the meeting voicing their complaints to the company shareholders.
In Australia, DR Congo, Ghana, Tanzania and New Guinea, Indigenous Peoples are fighting Barrick’s destruction in solidarity with the Western Shoshone. They are fighting the coring out of mountains for minute particles of gold and the poisoning of water with cyanide leaching.
Carrie Dann and other Western Shoshone grandmothers said the United States is trespassing on Western Shoshone treaty land, destroying mountains, trees, food and medicine, while leaving dirty polluted water ponds for birds and animals.
“Why doesn’t the mining company go dig up the Vatican or the Mormon Tabernacle instead of Western Shoshone lands, I’m sure they will find gold there,” said Mary McCloud, Western Shoshone grandmother, mourning the bulldozing of the pines near the ceremonial grounds on Mount Tenabo in November.
Near the Porgera mine in New Guinea, Jethro Tulin of the Akali Tange Association, told Barrick Gold, “Your security guards have been shooting and killing our people and raping, even gang-raping, our women with impunity for years now.”
Sydney residents also raised concerns about cyanide.
In 2007, Concerned citizens have gathered at Chullora in western Sydney to protest against the multinational mining company Barrick Gold.
The protest was part of an International Day of Action against the company.
Barrick Gold has mines across the globe, including North and South America, Africa and Australia.
Rise of Barrick Gold in Pakistan:
The Jewish Company working there stats that the pre-feasibility study is expected to be finalized in the third quarter of 2009. Work on the feasibility study has commenced and is expected to be completed in early 2010.
Barrick bought a stake in the Reko Dig copper-gold project in Pakistan for $100 million in February from Antofagasta PLC, a Chilean mining group.
In 2007, When CEO Greg Wilkins went to Islamabad in connection with that project, Munk said, he was received by both Prime Minister Shaukat Aziz and President Pervez Musharraf.
Although the company’s assessment of opportunities in that country is still in the early days, Wilkins said Barrick would be “very interested” in more projects there, despite challenges posed by the presence of al-Qaida in some of its regions.
According to Mineweb.com…. What is believed to be one of the world’s largest reserves of gold and copper were discovered last year in the Chaghi area in Pakistan’s southwest Balochistan Province. The Balochistan government has a 25% share while Barrick Gold has obtained 50% of the Reko Diq project. Reko Diq is believed to contain 12.3 million tons of copper and 20.9 million ounces of gold in inferred and indicated resources. Some surveys have suggested that Reko Diq may contain as much as 11 billion pounds of copper and nine million ounces of gold.
BHP Billiton, which was involved in the project at an earlier date, also believed Reko Diq may have the potential to yield copper resources that may eventually make it a multi-billion project. Antofagasta is now a 50-50 partner with Barrick. If the project is successful, it may have the potential to generate a mining industry in Pakistan.
An estimated US$46 million project budget includes a scoping study and initial pre-feasibility costs. The scoping study has been completed for the Western Porphyries with an updated resource anticipated at year end Barrick Executive Vice President, Exploration and Project Development, Alex Davidson told analysts last week.
While Riko was initially envisioned as a 72,000 tpd operation, Davidson said the joint ventures partners are now examining “significantly greater outputs.”
In an e-mail Monday to Mineweb, Barrick Senior Vice President Vince Borg said, “Our project staff in Islamabad are safe, which is the paramount concern wherever we operate, and we are in regular contact with them.” He noted that Reko Diq is in a very remote location, Baluchistan, “and work on the site is continuing.”
“We will obviously continue to monitor the situation,” Borg concluded.
The Conspiracy:
BHP Billiton, the world’s largest mining company, started this project with the Australian firm Tethyan, entering into a joint venture with the Balochistan government and estimating an annual production of 200 to 500 million pounds of copper. A large number of porphyry rocks are also known to exist.
The interests of the Australian company in Reko Diq and its neighbourhood were taken over by the Toronto-based Barrick Gold Corporation and the Chilean Antofagasta Minerals. These companies were handed a very lucrative deal. The terms agreed upon show that there is more to the issue than meets the eye. Royalties were reduced from the initial four to two per cent. Terms for the provision of cost-free land for an airport and a 400 km Reko Diq-Gwadar road were accepted. An unjust clause is that a 25 per cent share will be paid to the Balochistan government, but only after it invests 25 per cent in the project.
Antofagasta’s net assets at the end of 2007 grew to almost $5bn. In December 2005 it said: “Tethyan’s principal assets are a 75 per cent interest in the highly prospective Chagai Hills region of North West Pakistan known as Reko Diq, including the Tanjeel Mineral Resource. This mining district hosts significant copper-gold porphyry deposits as part of an extended copper-gold belt. Total indicated and inferred mineral resource estimates at these properties are 1,213 million tonnes with a copper grade of 0.58% and a gold grade of 0.28 grams per tonne. Estimates include probable reserves at the Tanjeel of 128.8 million tonnes with a copper grade of 0.7%.”
According to Rob Maguire of the Dominion paper, Barrick is the foremost gold mining corporation in the world, with sales exceeding $2.6bn in 2005 and the largest reserves in the industry, at nearly 90 million ounces. Proponents of this project state that the mines will create thousands of high paying jobs and give a massive boost to the local economy. However the main fear many have is that revenues generated by this project will be squandered by corrupt officials. Therefore it is imperative that a mechanism be evolved to ensure that revenues generated actually lead to better infrastructure, education and health.
These corporations have outsourced services to Pakistani contractors such as ROCKMORE PVT LIMITED, Security 2000, Zia ul Haq & Company, and foreign companies like Capital Drilling & Zain Drilling Company. In April 2008, Zain Drilling Company terminated the services of forty drilling assistants and recruited novices and non-locals. The AZAT Foundation has tried to protect their rights, and on June 14, 2008 a well-attended demonstration was held outside the Quetta Press Club.
There are many advocates of such mega projects who claim that the Baloch have benefited from their trickle-down effect. However, mining uses sodium cyanide, arsenic and other chemicals which produce toxic by-products. According to Marcel Claude, vice-president of the international environmental group Oceana, gold mining dumps 79 tonnes of waste for every 28 grams of gold and produces 96 per cent of the world’s arsenic emissions.
Community representatives of affected indigenous communities in Papua New Guinea, Chile and Australia traveled great distances to come to Toronto last year to speak out against the world’s largest gold mining corporation, Barrick Gold, regarding their gold mining operations where they live.