British Mining Firm Seeks $2.2 Billion from Morocco in World Bank Arbitration over Potash Project
British mining company Emmerson Plc has initiated arbitration proceedings against Morocco before the International Centre for Settlement of Investment Disputes (ICSID), the World Bank’s arbitration body. It is claiming 2.2 billion dollars in compensation for its potash project in Khemisset.
Emmerson Plc describes the blocking of its project as expropriation and accuses Morocco of violating the investment treaty linking it to the United Kingdom. The dispute follows an unfavorable opinion from the Unified Regional Investment Commission (CRUI) regarding the project’s environmental impact, particularly its water consumption. The company had then indicated its intention to "examine all regulatory and legal options for a possible appeal". An attempt to appeal to the wali had been declared inadmissible.
To finance this procedure, which is estimated to last two years, Emmerson secured 11.2 million dollars in January 2025, in addition to 850,000 pounds sterling raised last December to cover litigation costs and expert remuneration. The law firm Boies Schiller Flexner (BSF) represents the company.
Emmerson relies on the support of investors who have already successfully funded arbitration against Poland. The company cites their opinion: "These investors are well-versed in international arbitration and have worked extensively with our legal advisors. They share our view on the strength of our case".
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