South American Silver Corp. (TSX:SAC) announced the latest updates on the Company’s wholly-owned subsidiary South American Silver Limited. The updates are in regards to an investment dispute with the plurinational state of Bolivia.
As quoted in the press release:
On December 12, 2012, South American Silver Limited delivered a formal letter to the Bolivian Government reiterating its willingness to meet with Bolivian Government representatives in order to settle the dispute.
South American Silver, President and CEO, Philip Brodie-Hall, commented:
We are hopeful that the Government of Bolivia will agree to meet in order to negotiate an early settlement to the dispute. However, if a settlement cannot be reached by April 23, 2013, we will be filing a Notice of Arbitration under the Arbitration Rules of the United Nations Commission on International Trade Law (UNCITRAL) claiming full compensation based on fair market value of the Malku Khota project. Given the size of the project, the claim will be substantial. Indeed, as recently as December 11, 2012, Edgar Alan Pinto, the President of the Bolivian state-owned mining corporation (COMIBOL), was quoted in the Bolivian Press describing the project as one of the most attractive on the South American continent because of its high concentration of silver, indium, gallium and gold.