Firms Go to Arbitration Over Failed Gold Mining License Deal
Despite touting its Cambodian venture on the Frankfurt Stock Exchange (FSE), a British registered mining firm’s plan to extract gold in Ratanakkiri province stalled and the firm may face legal action over a failed deal to obtain an exploration license. Astra Resources Plc. has also gone ahead with making a string of promising announcements to the market in Germany, including an estimation of a large gold resource in Ratanakkiri, even though it has undertaken absolutely no exploration work in the area. … In a statement in October 2011, one month after it launched its initial public offering, Astra Resources said it had paid a 10 percent deposit toward a license to mine on 222 square km of the province’s land in O’yadaw district. … The claims made by the company also raise questions about the legitimacy of the firm’s public announcements regarding its operations is Cambodia. …
