Khan Resources Inc.
Partners Ian Laird and George Ruttinger, Counsel Ashley Riveira, and Associate Joanna Coyne.
What Our Clients Say:
"During our five-year association, Crowell & Moring came to know our company as well as we did, if not better. They did a masterful job of representing Khan at all stages of the international arbitration, all on a cost effective basis."
- Grant Edey, President and CEO, Khan Resources Inc.
Protecting Mining Licenses Half a World Away
In 2003, Canadian mining company Khan Resources Inc. invested in Mongolia via its subsidiaries, CAUC Holding and Khan Mongolia, to explore and develop one of the largest uranium deposits in the world. Representatives of the governments of Mongolia and Russia each held 21 percent stakes in CAUC, which owned a mining license issued by Mongolia. However, as the date to begin commercial production drew near, Mongolia embarked on a campaign of administrative action and legislative reform aimed at excluding Khan from its own project in favor of the Russian partner.
Khan turned to Crowell & Moring for help. In January 2011 we filed a Notice of Arbitration against the Government of Mongolia with claims brought under both Mongolian civil law and international law. Two further rounds of submissions were made on issues related to merits and damages in 2012 and 2013, followed by a final, one-week hearing in November 2013 in Paris.
In what Khan Resources' President and CEO called "a complete resolution of all outstanding matters in a timely manner," on March 7, 2016, Khan agreed to a US$70 million settlement of its five year arbitral dispute with the Government of Mongolia, a year after an eminent international tribunal rendered a significant Award on the Merits against the state. The Award compensated Khan for the expropriation of its mining licenses by Mongolia in 2009 and included Khan's share of the arbitration costs, expert fees, other expenses and attorneys' fees.