Montero Mining has received its final US$7 million payment from Tanzania, completing a US$27 million settlement regarding the Wigu Hill project expropriation. The company is now evaluating the distribution of funds and will announce plans later in 2025. Dr. Tony Harwood confirmed the timely receipt of payments, which allows for the termination of ICSID arbitration.
Montero Mining and Exploration Ltd. has announced the receipt of the final cash instalment of US$7 million from the United Republic of Tanzania. This payment concludes a settlement totaling US$27 million related to the expropriation of Montero’s Wigu Hill rare earth element project. The resolution ends ongoing disputes which were under arbitration at the International Centre for Settlement of Investment Disputes (ICSID).
With the final instalment received, Montero will now assess the remaining legal costs and expenses associated with this case. The management plans to analyze the distribution of the settlement funds, considering options like returning capital to shareholders. An announcement regarding possible distribution plans is anticipated in the second quarter of 2025.
Dr. Tony Harwood, Montero’s President and CEO, expressed satisfaction in receiving the final payment on time, signifying a step towards closure in their legal matters. Following this settlement, both Montero and Tanzania will formally request to terminate the ICSID arbitration proceedings.
Montero is now weighing various approaches to distribute the settlement proceeds while ensuring sufficient funds are retained to cover legal, tax, and administrative costs. Specific distribution methods and amounts are still pending and will need board approval post-review.
As a company, Montero has demonstrated a strong history in advancing projects, notably the Avispa copper-molybdenum project in Chile while seeking partnership opportunities. Trading under the TSX Venture symbol MON, Montero maintains around 50.1 million shares outstanding, reflecting its active status in the mining sector.
In summary, Montero Mining has successfully reached a settlement with Tanzania, receiving the final payment concluding disputes over its Wigu Hill project. The company is now planning the distribution of these funds while ensuring operational costs and legal obligations are met. Updates on distribution strategies will follow in the upcoming quarter.
Original Source: www.juniorminingnetwork.com
