The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Press release from Marketwire

Rusoro Files International Arbitration Against the Venezuelan Government

Wednesday, July 18, 2012

Rusoro Files International Arbitration Against the Venezuelan Government00:23 EDT Wednesday, July 18, 2012VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 18, 2012) - Rusoro Mining Ltd. (TSX VENTURE:RML) ("Rusoro" or "the Company") announced today that it has filed a Request for Arbitration before the Additional Facility of the World Bank's International Centre for Settlement of Investment Disputes ("ICSID") against the Bolivarian Republic of Venezuela ("Venezuela") pursuant to the Agreement between the Government of Canada and the Government of the Republic of Venezuela for the Promotion and Protection of Investments (the "Treaty").The arbitration has been commenced following the passing by the Venezuelan Government of a series of measures that dismantled the legal regime for the marketing of gold in Venezuela and culminated in the outright nationalization and control of Rusoro's investments in Venezuela without compensation. The claim is for breach of the Treaty's protections against expropriation, unfair and inequitable treatment and discrimination, and for breach of the guarantees of full protection and security and free transfer of investments.Andre Agapov, President and CEO of Rusoro said, "The Venezuelan Government's actions have resulted in significant loss to the Company and its shareholders. For several months we have attempted to find an amicable resolution to the dispute with the Venezuelan Government, but in the end, in light of the Government's apparent unwillingness to look for an amicable resolution, it became the Company's sole recourse to commence international arbitration. Even though we are disappointed that we could not reach an amicable resolution to the dispute, we firmly believe in our arbitration case and the pursuit of fair-value compensation for the loss of our large investment in Venezuela."ON BEHALF OF THE BOARDAndre Agapov, President & CEOForward-looking statements: This document contains statements about expected or anticipated future events and financial results that are forward-looking in nature and as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the Company's capability to execute and implement its future plans. Actual results may differ materially from those projected by management. For such statements, we claim the safe harbour for forward-looking statements within the meaning of the Private Securities Legislation Reform Act of 1995.FOR FURTHER INFORMATION PLEASE CONTACT: Andre AgapovRusoro Mining Ltd.President & CEO604-632-4044 or Toll Free 1 800-668-0091604-632-4045 (FAX)info@rusoro.comwww.rusoro.com"Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."