Proactive | 28 February 2023
Panthera Resources agrees arbitration funding structure for claim against Indian government
by Alastair Ford
Panthera Resources PLC (AIM:PAT) said it has executed a conditional arbitration funding agreement (AFA) for up to US$10.5mln in litigation financing with LCM Funding SG Pty Ltd.
LCM Funding is a subsidiary of Litigation Capital Management Limited, a firm quoted on the AIM Market of the London Stock Exchange.
LCM is a leading global litigation financier with significant expertise in international arbitration and cross-border disputes, including bilateral investment treaty claims over mineral resource assets.
The plan is to use the funding to support the damages claim against the Republic of India for breaches of its obligations under the Australia-India Bilateral Investment Treaty.
All monies advanced through the funding agreement are non‐recourse and only repayable in the event of a successful recovery under the claim.
In addition, Fasken Martineau LLP, a leading international law firm with extensive experience in mining, international arbitration and dispute resolution, has been appointed as counsel to pursue the claim.
"We are pleased that LCM has chosen to partner with Panthera,” said Mark Bolton, managing director of Panthera in a statement.
“Its willingness to support our claim is a tremendous vote of confidence. The AFA reflects an equitable sharing of the risk and reward between the partners. The AFA ensures that Panthera has the necessary resources to fully prosecute the merits of its claim under the treaty. We extend our appreciation to Fasken who have committed significant resources over an extended period in support of the company’s pursuit of financing and the advancement of the claim," he added.