Mumbai-listed diversified miner Vedanta Resources on Friday provided an update in its pursuit of international arbitration, amid a court matter between the miner and State-owned Zambian miner ZCCM, in Zambia, related to their jointly owned Konkola Copper Mines (KCM).
Justice LR Adams of the High Court in Gauteng, South Africa, on Friday denied ZCCM leave to appeal his July 23 judgment dismissing the application with costs.
ZCCM’s application for leave to appeal was in the main against Adam’s finding that the High Court had jurisdiction based on the arbitration clause in the KCM shareholders agreement, and that the winding up of the company, instituted by ZCCM in Zambia, amounted to a breach of the shareholders agreement.
Adams’ main reasons for refusing the leave to appeal include that ZCCM raised nothing new in its application that had not already been dealt with in the initial judgment and that he did not believe the appeal had a reasonable prospect of success.
Vedanta is adamant that the dispute with ZCCM has to be resolved through arbitration – as envisaged by the KCM shareholders agreement.
Meanwhile, Reuters reported that the Zambian government also on Friday stated its determination to urgently secure an investor for KCM once the court processes over the disputed liquidation of the mine are concluded.
The Zambian government in May appointed a liquidator to run KCM, claiming that KCM had breached the terms of its licence.