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Stans Energy Corp (2)
Symbol HRE
Shares Issued 157,263,986
Close 2014-04-29 C$ 0.075
Market Cap C$ 11,794,799
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Stans wins Kutessay II arbitration with Kyrgyzstan

2014-04-30 15:46 ET - News Release

Mr. Rodney Irwin reports

INTERNATIONAL ARBITRATION RULES IN FAVOUR OF STANS ENERGY

The Arbitration Court at the Moscow Chamber of Commerce and Industry has concluded its final hearings in the matter between Stans Energy Corp. and the government of the Republic of Kyrgyzstan. In this matter, the court has ruled in favour of Stans Energy.

The court will now prepare a written ruling that will detail the verdict and the final damage amount. This process may take up to three months. Once Stans receives the written ruling, the company will issue a release outlining those details.

In the interim period before the final damage amount is announced, the company intends to continue negotiating a settlement with the interdepartmental working group of the Kyrgyz government, as previously announced by the company on Feb. 6, 2014.

"Stans Energy and its subsidiaries have always conducted operations to the highest standards of international ethical and business practices. This ruling validates our position as open and honest business partners for the Kyrgyz Republic. It is our hope that we can now engage the government of the Kyrgyzstan in sincere discussions whereby we can resolve all the outstanding issues in Kyrgyzstan and resume development of Kutessay II. We are committed to working with the Kyrgyz authorities to negotiate an amicable solution that will allow the company to resume work, increase employment opportunities for the communities in which [we] operate and to ultimately benefit all stakeholders involved in the project. I would like to take this opportunity to congratulate our legal team, lead by Professor Igor Zenkin, who presented a well-considered and well-advocated claim on the company's behalf," stated interim president and chief executive officer Rodney Irwin.

Background

On Oct. 30, 2013, Stans Energy and its subsidiaries filed a claim for arbitration under the Convention for the Protection of Investor's Rights, to which Kyrgyzstan is a signatory. The arbitration hearings are being heard in the Arbitration Court at the Moscow Chamber of Commerce and Industry. The company claims that certain actions by agencies and/or representatives acting on behalf of the government of the Republic of Kyrgyzstan were aimed to impede the company from executing its responsibilities under its licence and have created conditions for termination of the operations of Kutisay Mining LLC, the company's wholly owned subsidiary, amounting to expropriation.

The claim seeks $117,853,000 in compensation for losses and damage.

We seek Safe Harbor.

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