Gabriel Resources Ltd. Faces Setback in ICSID Arbitration Against Romanian Government

Gabriel Resources Ltd. reported that the International Centre for Settlement of Investment Disputes (ICSID) has dismissed the company's arbitration claims against the Romanian Government concerning investments in the Roșia Montană gold and silver mining project. A two to one majority decision resulted in the dismissal. Furthermore, the Tribunal has ordered Gabriel Resources to pay approximately US$10 million in legal fees and expenses to Romania, a decision binding on both parties.

Initiated in July 2015, the arbitration aimed to address the Romanian Government's refusal to permit the Roșia Montană project. Gabriel Resources disagrees with the majority decision, highlighting the dissenting opinion of one arbitrator as evidence of an inconsistent assessment of the case. The company, alongside its legal advisers, is considering challenging the decision through the ICSID Convention's annulment process.

Anna El-Erian and Dragos Tanase from Gabriel Resources expressed disappointment with the Tribunal's decision, citing potential social and financial benefits the project could have brought to Romania. The company plans to closely examine the Tribunal's decision before deciding on further actions.