The Crystallex settlement was first reported by the Latin American Herald Tribune. Russ Dallen, its owner and publisher, also owns a boutique investment bank called Caracas Capital that closely follows Venezuelan bond markets.
Documents posted by the LAHT and by Ernst & Young show that the settlement was reached on November 23 but do not disclose the amount. But it is expected to be big – in an affidavit, Harry Near, a director of Crystallex, said: “The quantum of recovery that Crystallex will achieve under the Settlement Agreement is extraordinary when compared to the amount of the Award, and I understand this may be the largest settlement that Venezuela has ever agreed to in relation to an arbitral award.”
Mr Dallen said the amount was likely to be between $1bn — the amount obtained in a settlement by Gold Reserve, another Canadian miner whose assets were expropriated by Caracas — and the $1.4bn awarded to Crystallex by Icsid, the World Bank investment dispute mechanism.
Venezuela y Crystallex llegan a un acuerdo de miles de millones de dólares por expropiación
Crystallex, que adeudaba $ 1.400 millones por la expropiación de su filial minera en Venezuela, llegó a un acuerdo de miles de millones de dólares con Venezuela. Los abogados de Crystallex solicitarán a un Tribunal Superior de Ontario que apruebe el acuerdo, que se sellará a pedido de Venezuela y Crystallex, esta mañana. “Tras meses de negociaciones de inicio y finalización con Venezuela, el 15 de noviembre de 2017, Crystallex (a través de Venezuela Counsel) concluyó el Acuerdo de conciliación. Crystallex recibió la versión oficial firmada y sellada del Acuerdo el 20 de noviembre de 2017″, informa El director de Crystallex Harry Near en la corte. “Eso pondría el premio entre el $ 1 billón de Gold Reserve fue capaz de obtener un acuerdo y los $ 1.4 billones que Crystallex había sido galardonado”, dijo Russ Dallen, un abogado internacional y banquero que sigue atentamente a Venezuela y que descubrió los documentos del tribuna Latin American Herald Tribune
“That would put the award between the $1 billion Gold Reserve was able to obtain a settlement for and the $1.4 billion that Crystallex had been awarded,” said Russ Dallen, an international lawyer and banker who follows Venezuela carefully and who uncovered the court filings for the Latin American Herald Tribune.
“As we have found out this week with Gold Reserve, the problem now becomes getting the money out of Venezuela,” says Dallen. “Gold Reserve buried a bombshell on Wednesday night when it reported its third quarter financials — Venezuela had been paying its $29.5 million dollar a month settlement payment into a Venezuela state-owned bank in Caracas since August and Gold Reserve had been unable to get that $88.5 million out of Venezuela.”
“One of the problems with the Settlement Agreement is that it contains strict confidentiality requirements, including restrictions on disclosure of the negotiations that led to the settlement as well as the terms of settlement,” says Dallen. “So we don’t know exactly what the terms are.”