Caldera Resources accuses Global Gold Mining of illegal methods of fight for Marjan mining

Caldera Resources accuses Global Gold Mining of illegal methods of fight for Marjan mining

PanARMENIAN.Net - Caldera Resources has filed a complaint with the American Arbitration Association against Global Gold Corporation who unilaterally and illegally terminated the JVA between the parties. The binding arbitration hearing is schedule to start on August 23, 2011.

On July 29, 2011, a decision by the Administrative Court of Armenia was rendered against the State Register of Legal Entities in Armenia, declaring that the registration of 100% of the (“MCM-RA”), the holder of the License of the Marjan Property, in favor of the Joint Venture vehicle, Marjan-Caldera Mining (“MCM-JV”), was not done properly by the State Register and that it is null and void.

Caldera has received advice from its legal counsel that the decision contains numerous errors in law and should be appealed. Caldera has given instructions to its legal counsel in Armenia to appeal this decision.

Caldera has made all payments required by the JVA to its estranged JV Partner Global Gold Corporation (the parent company of Global Gold Mining, LLC) (collectively “Global Gold”) and indeed made additional payments to the government of Armenia prior to the coming into force of the JVA in order to protect the license on the Marjan Property.

On or about October 18, 2010, Caldera discovered a scheme, which was devised by Mr.Van Krikorian, the CEO and Chairman of Global Gold, to secretly file a claim against the State Registry of Legal Entities of Armenia with the Administrative Court of Armenia, without the knowledge of Caldera. This was done in an attempt to reverse the registration of the JVA and take back the Marjan project by the back door (more below) while attempting to bypass the arbitration process.

A Company considers that Global Goals acted illegally and against the terms outlined in the JVA, in attempting to terminate the agreement. Caldera is seeking a judgment through the arbitration process established in the JVA which will declare that the JVA is in full force. The decision from the courts of Armenia does not affect the Arbitration in New York or the rights of ownership in the JV. Given that the judgment of the Administrative Court of Armenia will be appealed, the judgment will not become effective, according to Caldera Resources press service.

In 2008, Global Gold Mining got license for operating Marjan gold-silver mine in Sisian, near Arevis village. In March 2010, GGM concluded agreement with Caldera on creation of a joint venture, in which Caldera was supposed to hold a 55% interest in the Marjan project, while GGM was to own 45%.

Presently both companies accuse one another of Marjan mine illegal acquisition attempts.

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