"The arbitration court will assess the validity of the claim, whether it is EUR 16 billion, EUR 10 billion or EUR 12 billion – it does not make any impression. We believe that this is an instrument of political pressure," Paluckas told reporters on Tuesday.

The Government will not be taking any action, as further developments will depend on lawyers representing Lithuania in the arbitration case, the prime minister said.

The Hague-based Permanent Court of Arbitration (PCA) on Monday said that Belarusian national potash producer Belaruskali is seeking over USD 12 billion (around EUR 11.8 billion) in damages from Lithuania over its ban on the transit of fertilisers imposed back in February 2022.

"The claimant (Belaruskali – ELTA) seeks to recover USD 12,090,167,971 (as at 27 November 2024) in damages from the Republic of Lithuania," a press release from the Court reads.

The Court said that the statement of claim was filed on 2 December 2024. The claimant commenced the arbitration on 17 October 2023.

Belaruskali owns 30 percent of shares of Klaipėda-based Birių krovinių terminalas (BKT), stevedoring company in the Port of Klaipeda.

At the end of November 2024, incoming Prime Minister Gintautas Paluckas said he had met with Vilius Nikitinas, lawyer representing BKT that handled Belarusian company’s Belaruskali fertiliser freight.

Paluckas said then that a dispute between Belaruskali and Lithuania would be settled in international arbitrage.

Swiss-registered company Hasenberg AG owns 65% of shares of, other 5% are owned by Udovicki, while the remaining 30% belong to Belarusian state potash fertiliser producer Belaruskali.

In February 2022, Lithuania terminated fertiliser freight agreement between Lithuanian Railways and Belarusian state-owned firm Belaruskali. Freight of the company’s produce ceased following the Government’s decision in January 2022, stating that it posed a threat to Lithuania’s national security.

Source
Topics
It is forbidden to copy the text of this publication without a written permission from ELTA.
Comment Show discussion