DUSHANBE, December 18, 2013, Asia-plus — The Tajik Aluminum Company (TALCO) is currently considering the possibility of participation of Russian capital in its projects.
Igor Sattarov, a spokesman for TALCO, stated this at an international conference that took place in Dushanbe yesterday to discuss cooperation between Tajikistan and Russia and problems of implementation of national interests of the Central Asian countries under conditions of geopolitical alternatives.
In a report released at the conference, Sattarov clearly designated TALCO’s position towards Russia’s RusAl aluminum company. “Format, in which Tajik aluminum company works, eliminates any attempts to bring any destructive elements into relations between Tajikistan and Russia,” Sattarov said.
“We consider that the issues that we must solve with our colleagues from RusAl will be solved within the framework of existing norms, also by means of negotiations between top managers of our companies,” TALCO spokesman noted.
We will recall that Tajikistan formally revoked a contract with RusAl for the construction of the Roghun hydroelectric power station (HPP) in August 2007. The cancellation of the contract also included the “annulment” of the October 2004 agreement on “long-term cooperation” with RusAl. According to the contract, RusAl agreed to construct the Roghun HPP.
RusAl reported in October this year that it has won $275 million in damages from TALCO. According to TALCO, a Swiss tribunal found TALCO in breach of two 2003 agreements with RusAl subsidiary Hamer Investing, Ltd. Under those agreements, Hamer had supplied TALCO raw materials for which the state-run Tajik company had failed to pay. The tribunal ordered TALCO to pay damages in excess of $112 million, approximately $147 million in interest, and almost $15 million in legal fees, the RusAl statement said.
The statement also said the tribunal had thrown out TALCO’s $400 million counterclaim, in which the company argued that Hamer’s original contracts should be deemed invalid as they had been won by corrupt means.
Besides, Alumina & Bauxite Co. Ltd. (Albaco), a subsidiary of RusAl, filed an application with the Eastern Caribbean Supreme Court for the appointment of liquidator for CDH Investments Corp (CDH). According to press release issued by RusAl, Albaco filed the application in order to “get confidential materials of CDH Investments Corp.” “The liquidator that will be appointed by us will collect and disclose the information on money transfers, directors and other materials concerning CDH,” the press release said, noting that Albaco obtained an order dated October 16, 2013 from the High Court of Justice of the British Virgin Islands, entering judgment on an arbitration award issued for approximately 70 million USD against CDH).
The arbitration award relates to the supply of alumina to the Tajik aluminum smelter, press release said. The arbitration award was reportedly issued in Albaco’s favor by a three-member tribunal sitting in Switzerland in accordance with the Rules of the International Chamber of Commerce. The tribunal held that CDH had breached a supply contract with Albaco for the sale-purchase of alumina.
