Entrée Resources Secures Favorable Arbitration Outcome for Oyu Tolgoi Joint Venture

Horizon Copper has provided an update regarding the arbitration proceedings initiated by Entrée Resources Ltd. concerning its Joint Venture Agreement (JVA) with Oyu Tolgoi LLC (OTLLC) and Turquoise Hill Resources Ltd. on the Oyu Tolgoi copper project in Mongolia.

On December 19, 2024, Entrée announced that an international arbitration tribunal delivered a partial final award in its favor. The decision upheld critical provisions of the JVA, offering greater certainty for the Oyu Tolgoi project, particularly as development work on Lift 1 Panel 1 progresses.

The JVA, linked to the 2004 Equity Participation and Earn-in Agreement, governs the collaboration between Entrée and OTLLC. OTLLC fulfilled its earn-in obligations in 2008, and the two parties have operated under the agreement since. Entrée initiated arbitration in May 2022 to address disputes over the interpretation and execution of certain provisions of the agreements.

The tribunal’s declarations affirmed Entrée’s rights under the JVA, though additional claims regarding specific performance, equitable damages, and costs remain pending. Entrée has stated it will provide further updates as developments unfold.

The favorable arbitration outcome reinforces the structure of the Entrée/Oyu Tolgoi partnership, a critical component in the advancement of one of the world's significant copper resources.