The International Centre for Settlement of Investment Disputes has formally constituted the arbitral tribunal to examine the case opposing Khemisset UK Limited and Potasse de Khemisset S.A. to the Kingdom of Morocco, a dispute centered on the Khemisset potash mining project led by British group Emmerson plc.
This procedural milestone marks the official start of international arbitration registered under case No. ARB/25/22.
The proceedings, filed on May 23, 2025, are based on the 1999 United Kingdom–Morocco Bilateral Investment Treaty, in force since 2002, and governed by the ICSID Convention, which regulates disputes between private investors and host states.
The tribunal is chaired by Brazilian-Swiss arbitrator Laurent Lévy, appointed jointly by both parties, alongside Stanimir A. Alexandrov of Bulgaria, nominated by the claimants, and Zachary Douglas of Australia and Switzerland, designated by Morocco.
The claimants are represented by Boies Schiller Flexner LLP (London, Washington, New York), while Morocco is assisted by Naciri & Associés A&O Shearman in Casablanca, in coordination with Allen & Overy (Paris and London).
The case is currently listed as “pending,” awaiting the adoption of a procedural calendar and the filing of initial submissions.
The dispute stems from the October 28, 2024, decision by Morocco’s Unified Regional Investment Commission to reject the environmental and social impact assessment for the Khemisset project, citing water consumption concerns.
Emmerson alleges that this refusal amounts to an unjustified expropriation of its $2.2 billion investment. The project, considered the group’s flagship asset, contains 311 million tonnes of resources with an average grade of 10.2 percent potassium oxide and was initially expected to begin production in 2024.
With the tribunal now constituted, the arbitration moves into its active phase, during which both parties will present arguments regarding the protection of foreign investments and Morocco’s obligations under the bilateral treaty.
I have been following what is being published in the Moroccan newspapers, knowing that these reports do not reflect the full truth. It is unacceptable that in the same area, which lacks groundwater, environmental licenses were granted to the National Phosphate Office, while an international company was prevented from operating at the same site. This raises serious questions about fairness and transparency in resource management.
Furthermore, the actions of Akhannouch’s government have put Morocco in an international predicament, affecting investor confidence and the country’s reputation.
I would appreciate your perspective or any updates on this critical matter, as the current situation is concerning and requires careful monitoring.