UPDATE 1-British court orders Vedanta's Zambia unit to pay government $100 mln

By Reuters / December 20, 2016 / in.investing.com / Article Link

(Adds details, quotes from company spokesman)

LUSAKA, Dec 20 (Reuters) - Konkola Copper Mines (KCM), owned by Vedanta Resources < VED.L>, has been ordered by a London court to pay the Zambian government more than $100 million for a claim related to the copper price, a state-owned company involved in the dispute said.

The claim relates to outstanding payments under a 2013 copper price participation settlement agreement between KCM and Zambia Consolidated Copper Mines Investments Holdings (ZCCM-IH), the latter said late on Monday.

In June this year, ZCCM-IH filed the claim with the English High Court to recover over $100 million it said was owed to it from KCM in terms of the 2013 agreement.

"We now advise that ZCCM-IH has been successful in its application for default judgment. KCM has been ordered (on 16 December 2016) to pay all sums owed to ZCCM-IH," the state company said.

"The total amount to be paid by KCM amounts to approximately $103 million. KCM has also been ordered to reimburse ZCCM-IH 80 percent of the costs it has incurred in pursuing its claim."

A ZCCM-IH spokeswoman said the company and KCM planned to issue a joint press statement on Tuesday to give further details of the ruling.

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