ISLAMABAD - The Supreme Court of Pakistan Tuesday issued notice to the Pakistan Bar Council (PBC), Barrick Gold Corporation and others in the Presidential Reference which is seeking Court’s opinion on the Reko Diq project. A five-member bench of the apex court headed by Chief Justice of Pakistan Justice Umar Ata Bandial and comprising Justice Ijaz ul Ahsan, Justice Muneeb Akhtar, Justice Yahya Afridi and Justice Jamal Khan Mandokhail conducted hearing of the reference.
The others whom the notices were issued included the government of Balochistan, Oil and Gas Development Company Limited (OGDCL), Pakistan Petroleum Limited (PPL), and Government Holdings (Private) Limited (GHPL). They were directed to present their point of views on the questions raised in the reference and assist the court on its legal soundness.
During the hearing, Additional Attorney General (AAG) Aamir Rehman, who represented the federation, was asked to provide a list of senior counsels, who may appear as amicus curiae in this case. The counsels of all the parties were asked to assist the court regarding the maintainability of the reference. The AAG was asked to send the notices to Barrick Gold Corporation.
Amir Rehman, at the outset, briefed the bench about the background of the dispute between the Balochistan and the federal governments with the foreign investor in Chaghi Hills Exploration Joint Venture Agreement (CHEJVA) for the exploration and mining of gold and copper reserves in Reko Diq mines in Balochistan. The dispute resulted in international award by International Centre for Settlement of Investment Disputes (ICSID) Tribunal and the ICC Tribunal.
The AAG informed that in view of the ICSID award and the anticipated award by ICC the total liability against Pakistan would be around $9 billion. The chief justice said, “We are not in a position to sanctify anything.” He asked the AAG to focus on the questions sent by the president.
The court said that the disputing parties have simultaneously negotiating to settle the matter and the settlement, which involves billions of US dollars, is to develop the mining project at Reko Diq. The bench noted that several options are proposed that would be concluded between the different parties and one of the consideration is to reversing the SC judgment (PLD 2013 SC 641). The Balochistan High Court in 2006 had validated the agreement (CHEJVA), but this ruling was reversed by the apex court.
The AAG submitted that the apex court is not called to consider the viability of the terms of the agreement, but its validity for safeguarding the interest of the people of Balochistan. The order said that the controversy presented to the court is of unusual nature that necessitated taking the competent advice and view of all the stakeholders. Later, the bench deferred the hearing till November 1 for further proceeding in this matter.
Reko Diq is one of the world’s largest undeveloped copper-gold mines. The project is being restarted after remaining on hold since 2011.