The Canadian Claimants in the World Wide Minerals arbitration has paid the Republic of Kazakhstan 500,000 US dollars in costs

As previously reported, in December 2013, Canadian Claimants, World Wide Minerals Ltd and Mr Paul Carroll QC (president of the company), filed a request for arbitration against the Republic of Kazakhstan. The total amount claimed was initially 1.9 billion US dollars.  The dispute concerned the circumstances of the Claimants' trust management between 1996 and 1997 of the Tselinny Mining and Chemical Combine, located in the Akmola region.

Following a hearing in December 2017 and January 2018, in its Award dated 29 October 2019, the Tribunal awarded the Claimants less than 1% of the principal sum claimed.

As also previously reported, in November 2019, the Republic of Kazakhstan applied to the English High Court in London, supported by evidence, challenging the Award on the grounds of serious irregularity relating to the Tribunal’s findings and assessment of damages.

On 23 November 2020 His Honour Judge Pelling QC upheld the Republic of Kazakhstan’s challenge and set aside the parts of the Award 2019 concerning damages and costs and remitted these matters to the Tribunal for further determination.

In light of the successful challenge to the Award, the Claimants were ordered to pay the Republic of Kazakhstan’s costs.  The Claimants paid the Republic of Kazakhstan 500,000 US dollars for expenses incurred in the challenge proceeding, which funds have been transferred to the state budget.  

As a result of the successful challenge to the Award the Claimants discontinued their claim to enforce the Award in England.  Accordingly, the Claimants are liable to pay the Republic of Kazakhstan its costs.  The parties are in discussion concerning the recovery of those costs.