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Stans Energy (TSXV:HRE,OTCQX: HREEF) reported that the Inter-district Court of Bishkek has ruled in favour of Stans Energy in a lawsuit against a committee in the Jogorku Kenesh.
As quoted in the press release:
The Inter-district Court has ruled that the Committee’s actions were illegal, and are counter to the Constitution of the Kyrgyz Republic. As a result, the following orders and decisions of the Committee were voided:
- Committee order to the State Geological Agency (SGA) to annul Licence Agreement #3
- Committee order to the State Geological Agency to put to tender Kutessay II
- Committee decision to recommend to the State Geological Agency that Licence Agreement #3 be annulled
A 30-day work stoppage, previously announced on September 11, 2012, which was enacted by the previous administration of the State Geological Agency, was also contested in front of the Inter-district Court of Bishkek. Stans Energy Corp is pleased to report that the Inter-district has ruled in favor of the Company; that the work stoppage was in fact illegal, and that the Company assumed all measures for the appropriate fulfillment of obligations as set out in Licence Agreement #3. The Court ruled that the non-fulfillment of specific sections of Licence Agreement #3, which was used as the basis for a work suspension, was not the fault of the Company, but due to the fault of the previous administrations of the State Geological Agency and the lack of action by the State Property Fund.
Stans Energy President and CEO Robert Mackay said:
Vindication in the Kyrgyz court system is extremely reassuring for both the Company and for the long-term prospects for foreign investment in Kyrgyzstan. A functioning rule of law that can protect investor property rights and counter processes that are not transparent or impartial is absolutely critical to ensure a stable business environment. Stans has always maintained the position that it operates openly and in good faith with all stakeholders, be it government, shareholders, or potential partners. These recent court decisions prove that our meticulous adherence to the highest standards of business practice and reporting is a strategy that will maximize the value for shareholders and local stakeholders in the long term.
Click here to read the Stans Energy (TSXV:HRE,OTCQX:,HREEF) press release
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