A final hearing will be held in May 2021
The International Centre for Settlement of Investment Disputes has granted Pakistan stay on $6 billion penalty in the Reko Diq case.
ICSID — a World Bank arbitration court — had ordered Pakistan to pay $6 billion in damages to Tethyan Copper in July 2019.
The company had approached the World Bank arbitration court in 2012 after the Balochistan government declined its lease request.
The Supreme Court of Pakistan had terminated the deal in 2013. The mining company said that it had invested over $220 milion in Reko Diq.
But Pakistan had challenged the award in November 2019. Islamabad was granted a provisional stay after it initiated proceedings seeking annulment of the ICSID verdict.
A hearing to confirm the stay order was held through a video link in April 2020, according to the office of the attorney general of Pakistan.
The World Bank arbitration court confirmed the stay on the enforcement of $6 billion fine on September 16.
In a statement on Thursday, the office of the attorney general described the development as a “major success” for the country and its legal team.
A final hearing in the Reko Diq case will be held in May 2021, it added.