El Salvador celebrates win against mining company

IndustrialsAssociated Press

El Salvador is celebrating a win against a multinational mining company after an international arbitration panel in Washington ruled in its favor.

Salvadoran Attorney General Douglas Menendez announced the decision in Washington Friday.

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Mining company Pac Rim Cayman had asked the World Bank's International Centre for the Settlement of Investment Disputes to order El Salvador to pay $250 million for potential profits lost when the country did not grant it a license to mine gold.

The government maintained that the company purchased by OceanaGold in 2013 had never met the regulatory requirements.

OceanaGold said in a statement Friday that it was disappointed and would review the decision. The arbitration panel told OceanaGold to pay El Salvador $8 million for legal fees.