AngloGold Ashanti joined Acacia Mining in entering into arbitration over legislative changes in Tanzania which entitles the East African country’s government to renegotiate business agreements with mining firms.
A number of the provisions of the new legislation are inconsistent with the protections afforded to qualifying investors under agreements such as bilateral investment treaties.
Acacia Mining said it was seeking an adjudicator to resolve its dispute with the Tanzanian government, a day after the east-African country passed two laws to force companies to re-negotiate their contracts.
British water giant Biwater cannot use an investment treaty to make Tanzania pay millions for an abrogated water privatization contract, an international tribunal ruled in July.
Tanzania was glad to secure the services of a British-led consortium to run the newly privatised water system in its capital Dar es Salaam. But then the price of water started to rise