GreenX Metals to receive PLN 1.3 bln total in compensation and interest from Poland

"The company has been awarded approximately GBP 252 million (AUD 490 million / PLN 1.3 billion) in compensation by the Tribunal under the BIT (BIT Award), which includes interest compounded at the Sterling Over-Night Interbank Average (SONIA) plus one percentage point (+1 percent) compounded annually from December 31, 2019, to the date of the award (October 7, 2024)," the company said.

"Interest will continue to accrue at SONIA +1 percent compounded annually until full and final payment by the respondent," it added.

In addition, the company has been awarded damages of approximately GBP 183 million (AUD 353 million / PLN 941 million) by the Arbitral Tribunal, under the ECT (ECT Award), which includes interest compounded at the SONIA overnight rate +1 percent compounded annually from December 31, 2019.

Interest will continue to accrue at SONIA +1 percent compounded annually until full and final payment by Poland.

It was indicated that both awards are subject to any payments made by Poland to the company in the other arbitration such that the GreenX Metals is not entitled to double compensation this is, any amount paid by Poland in one arbitration (BIT) is set off against Poland’s liability in the other arbitration (ECT).

"Each party has been ordered to cover its own legal fees, expenses and arbitration costs in relation to the claim, which in respect of GreenX are costs that have already been fully paid under the Litigation Capital Management (LCM) funding facility," the press release said.

The Tribunal has unanimously held that Poland had breached its obligations under the treaties in relation to the Jan Karski project, entitling GreenX to compensation. In respect of the Dabiensko project, the Tribunal did not uphold the claim under the treaties.

GreenX Metals informed that all of its costs associated with the arbitration were funded on a non-recourse basis from specialist arbitration funder LCM.

"The Claim was brought under the United Nations Commission on International Trade Law Rules (UNCITRAL) and the awards are final and binding on the parties. The UNCITRAL Rules do not provide for an appeal procedure i.e., grant no explicit authority to a panel to reconsider its award," it was written.

"Under the UNCITRAL Rules, either party may, within 30 days of receiving an award, ask the Tribunal to correct any computational, clerical or typographical errors in the award, issue an interpretation of the award or render an additional award on any claims omitted from the final award. These procedures do not allow either party to request that the Tribunal reconsider the merits of its decision," it added.

GreenX Metals assessed that if a party believes that an award ought to be 'set-aside' or 'annulled', then that party must apply for relief from a court where the arbitration was seated, which would be the national courts of England and Wales for the BIT claim and Singapore for the ECT claim.

Poland has 28 days from the date of the BIT Award and three months from receiving the ECT Award to apply for set aside of the respective awards, which can only be set aside under limited circumstances.

It is important to note that a 'set-aside' motion is different from a general 'appeal' since a set-aside motion can in general only relate to a lack of jurisdiction for the Tribunal or procedural unfairness, unlike an appeal, where the actual merits of a case might be revisited by a court.

GreenX Metals is a mining and exploration company focused on the development of sustainable and low-emission metals projects. GreenX Metals operates projects primarily in regions rich in essential metals like copper and lithium, crucial for decarbonization and the global shift towards cleaner energy sources.

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