Vancouver, B.C. Canada, May 23, 2014 – Belmont Resources Inc. (“Belmont”, the “Company” or “TSX.V: BEA”) Further to our news release of November 20, 2013 the Company announces the following update.
In December 2013, Belmont and EuroGas Inc. (“EuroGas”) delivered the Slovak Republic a ‘Notice of Dispute’ under the US-Slovak Republic and the Canada-Slovak Republic bilateral investment treaties. This notice was sent in relation to the companies’ investments in the Slovak incorporated company Rozmin s.r.o. –of which Belmont and EuroGas hold a 90% shareholding – and the Gemerska Poloma talc deposit in the Slovak Republic. In 1998, exclusive rights for mining activities at the Gemerska Poloma talc deposit had been awarded to Rozmin. These rights were, however, revoked in January 2005. By decisions dated February 27, 2008 and May 18, 2011, the Supreme Court of the Slovak Republic confirmed that the revocation of Rozmin’s mining rights were in breach of Slovak procedural and substantive laws. Currently, Belmont and EuroGas wish to seek compensation under international law against the Slovak Republic. Under the applicable treaties, the Notice of Dispute sent in December 2013 is to be followed, when appropriate, by a six-month “cooling off period”, to allow a possible amicable settlement. Negotiations with the Slovak Republic are underway. Failing an amicable settlement by June 24, 2014, a Request for Arbitration on behalf of Belmont and EuroGas, will be filed with the International Centre for the Settlement of Investment Disputes under the auspices of the World Bank.
ON BEHALF OF THE BOARD OF DIRECTORS
President and CEO, Director
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