The British firm Emmerson announced this Friday, December 6, that it has filed for arbitration with the International Centre for Settlement of Investment Disputes (ICSID). Emmerson is challenging the unfavourable opinion issued by the Moroccan authorities regarding the environmental assessment of its project in Morocco and is demanding a favourable one.
The British company Emmerson indicated this Friday, December 6, that it has filed for arbitration with the International Centre for Settlement of Investment Disputes (ICSID).
Emmerson is challenging the refusal of the Moroccan authorities to grant it a favourable opinion regarding the environmental assessment of its potash project in Khemisset.
In a statement released this Friday, Emmerson revealed that it has raised £850,000, which is expected to be used to fund expenses related to "the dispute with the Kingdom of Morocco and the remuneration of key witnesses" in the arbitration that the British group intends to initiate with the ICSID arbitral tribunal.
"The government of the Kingdom of Morocco has not responded to our notice of dispute. Consequently, and in collaboration with our legal team specialising in arbitration (the law firm Boies Schiller Flexner), we have presented our case to funders and have generated considerable interest," the company highlighted in its statement.
Emmerson claims to have attracted the interest of a group of investors who successfully supported the company GreenX in an arbitration against the Polish group. "These investors are well-versed in international arbitration and have worked extensively with our legal advisors. They share our view on the strength of our case," the British firm specified in its statement.
As a reminder, the company had stated last November that the dispute resulted from "various breaches" of the bilateral investment treaty signed in 1990 between the United Kingdom and the Kingdom of Morocco for the promotion and protection of investments, which entered into force in 2002.
The treaty allows Emmerson to submit the dispute to arbitration by the International Centre for Settlement of Investment Disputes. However, to demonstrate its "good faith", Emmerson first invited the Moroccan government to discuss potential cash compensation.
This action comes shortly after the suspension, at the end of October, of the progress of the company's Khemisset project, following an unfavourable recommendation from a Moroccan government commission regarding the approval of Emmerson's updated environmental and social impact assessment for the Khemisset project.
Emmerson has maintained that it has always conducted its activities in Morocco in compliance with "the highest environmental and ethical standards, often well beyond local regulatory requirements".
