Kyrgyz Supreme Court Rules Previous Holder for Kutessay II Has No Legal Claim to Licence
19 November 2014 - 4:14AM
Business Wire
Stans Energy Corp., (“Stans Energy” or the “Company”), (TSX-V:
HRE, OTCQX: HREEF), is pleased to report that the Supreme Court of
Kyrgyzstan has ruled against Baotou Hongbo Technology Company LTD
(“Baotau”) with respect to its claims that it was the rightful
owner of the mining licence for Kutessay II and that its licence
was taken away illegally and without notification.
“This ruling by the Supreme Court of Kyrgyzstan validates the
Company’s due diligence process before acquisition of the mining
licence for Kutessay II in an auction in December 2009,” states
Rodney Irwin, Interim President and CEO.
BACKGROUND
Baotau Hongbo Technology Company LTD brought suit against the
State Agency for Geology and Mineral Resources of the Kyrgyz
Republic (the “SGA”) intending to reclaim licence rights to
Kutessay II. The Inter-district Court of Bishkek ruled in favour of
Baotau Technology Company LTD, overlooking significant evidence and
ignoring several substantive procedural issues. In September 2013,
an appeal by Kutisay Mining LLC and the SGA was heard at the
Bishkek City Court. The Bishkek City Court overruled the lower
court ruling and held that Baotau had no rights to Kutessay II.
Baotau then appealed the Bishkek City Court ruling to the Supreme
Court of Kyrgyzstan which has subsequently upheld the City Court
ruling.
About Stans Energy
Stans Energy Corp. is a resource development company focused
on advancing Heavy Rare Earth (HRE) properties in areas of Central
Asia and Russia. In December 2009, Stans acquired a 20-year mining
license for the past-producing Kutessay II rare earth mine from the
Kyrgyz Republic. On May 26, 2011 Stans completed the purchase of
the Kashka Rare Earth Processing Plant (KRP) the same plant that
previously refined REEs from Kutessay II ores. The KRP was the only
hard rock plant to produce all rare earth elements outside of
China, producing 120 different metals, alloys, and oxides. For over
30 years, Kutessay II produced 80% of the rare earth metals for the
Former Soviet Union.
We seek safe harbour.
Contact Details
Rodney Irwin
Stans Energy Corp
Interim President & CEO
rodney@stansenergy.com
647-426-1865
David Vinokurov
Stan Energy Corp
VP Corporate Development
david@stansenergy.com
647-426-1865
FORWARD LOOKING STATEMENTS: This document includes
forward-looking statements as well as historical information.
Forward-looking statements include, but are not limited to, use of
proceeds from the Offering, the completion of the Offering, the
continued advancement of the company's general business
development, research development and the company's development of
mineral exploration projects. When used in this press release, the
words “will”, “shall”, "anticipate", "believe", "estimate",
"expect", "intent", "may", "project", "plan", "should" and similar
expressions may identify forward-looking statements. Although Stans
Energy Corp. believes that their expectations reflected in these
forward looking statements are reasonable, such statements involve
risks and uncertainties and no assurance can be given that actual
results will be consistent with these forward-looking statement.
Important factors that could cause actual results to differ from
these forward-looking statements include the potential that
fluctuations in the marketplace for the sale of minerals, the
inability to implement corporate strategies, the ability to obtain
financing and other risks disclosed in our filings made with
Canadian Securities Regulators.
Stan Energy CorpRodney Irwin, 647-426-1865Interim President
& CEOrodney@stansenergy.comorDavid Vinokurov, 647-426-1865VP
Corporate Developmentdavid@stansenergy.com
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