By Damon Vis-Dunbar
8 June 2009
European claimants and the government of South Africa have agreed to extend the suspension of their ICSID arbitration.
The high-profile case was suspended at the end of March for two months, as the parties seek to resolve the dispute. The suspension is now due to run until June 19th.
The claimants—several Italian citizens and a Luxembourg corporation—hold interests in South African granite quarrying companies. They claim that legislation enacted in 2004 to increase the participation of historically disadvantaged South Africans effectively “extinguished” their mineral rights without providing adequate compensation.
The claim is pursuant to the Italy-South Africa and Benelux-South Africa bilateral investment treaties, and was registered with ICSID in 2007.
Both parties have submitted memorials and hearings are currently scheduled for April 2010.