Originally from the Journal of Damages in International Arbitration

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PERENCO ECUADOR LIMITED V. THE REPUBLIC OF ECUADOR, ICSID CASE NO. ARB/08/6
AWARD, SEPTEMBER 27, 2019
DECISION ON CLAIMANT’S APPLICATION FOR DISMISSAL OF RESPONDENT’S COUNTERCLAIMS, AUGUST 18, 2017
INTERIM DECISION ON THE ENVIRONMENTAL COUNTERCLAIM, AUGUST 11, 2015
DECISION ON ECUADOR’S RECONSIDERATION MOTION, APRIL 10, 2015
DECISION ON REMAINING ISSUES OF JURISDICTION AND ON LIABILITY, SEPTEMBER 12, 2014
DECISION ON JURISDICTION, JUNE 30, 2011

The Parties
Perenco Ecuador Limited (the “Claimant” or “Perenco”), Ecuador (the “Respondent”) (Empresa Estatal Petróleos Del Ecuador (“Petroecuador”) was a respondent until June 30, 2011)

Sector
Oil and gas

Applicable Treaty
Bilateral Investment Treaty between Ecuador and France (the “BIT”)

Members of the Tribunal
H.E. Judge Peter Tomka (President), Mr. Neil Kaplan, C.B.E., Q.C., S.B.S. (Claimant’s appointee), and J. Christopher Thomas, Q.C. (Respondent’s appointee)
(The initial composition of the tribunal was: Thomas Bingham (President), Charles N. Brower (Claimant’s appointee), and J. Christopher Thomas (Respondent’s appointee))

I.  BACKGROUND
On 2 September 2002, the Claimant obtained a 45% interest in each of two oil concession contracts in the Ecuadorian Amazon region (“Participation Contracts for Blocks 7 and 21”). Shortly thereafter, the Claimant entered into two joint operating agreements with Burlington and Preussag, who between them held the remaining interest in the blocks. In 2005, Burlington and the Claimant (together, the “Consortium”) acquired Preussag’s remaining interest; the Claimant’s interest increased to 57.5% and 53.75% in Blocks 7 and 21 respectively.