Arbitration tribunal to decide on Churchill case early next year

By Ruli Setiawan

UK-firm Churchill Mining PLC said on Friday it expected the arbitration tribunal to issue early next year its decision on the challenge from the Republic of Indonesia (ROI) to its jurisdiction to hear claims raised by the UK firm and its wholly owned subsidiary against ROI.

Churchill filed in May of last year a Request for Arbitration at the Washington-based International Centre for Settlement of Investment Disputes (ICSID) against the Republic of Indonesia, alleging that Indonesia breached its obligations under the UK-Indonesia Bilateral Investment Treaty when licenses on the East Kutai coal project in Kalimantan were revoked.

In a statement released in October this year, Churchill said its Australian subsidiary Planet Mining Pty Ltd , which via its 5 percent shareholding in PT Indonesia Coal Development also held an interest in the East Kutai Coal Project, filed a separate arbitration at the ICSID against the ROI pursuant to the Australia-Indonesia Bilateral Investment Treaty (the Planet Arbitration). The Churchill Arbitration and Planet Arbitration have subsequently been consolidated into a single proceeding,

?The Tribunal anticipates issuing its decision or awards on ROI's challenge to jurisdiction in late January or early February 2014,? the firm said in a statement on Friday.

Editing by Johannes Simbolon