Unfavourable Appeal Decision Delays Seizure

PhosCo Limited (ASX:$PHO) has faced an unfavourable appeal decision in its efforts to enforce seizure orders over TMS' interest in CPSA. The Appeal Court in Tunis has refused PhosCo's application to commence the process to auction off the 49% interest in CPSA held by TMS, delaying the advancement of the Chaketma Phosphate Project.

PhosCo Managing Director's Commentary

PhosCo is assembling a district-scale phosphate portfolio in Tunisia's Northern Phosphate Basin to support a potential world-class fertiliser hub. While we are disappointed by this development in PhosCo's efforts to secure full ownership of CPSA, which delays the advancement of the Chaketma Phosphate Project, we eagerly await the grant of the other permits. Once we have reviewed the formal decision issued by the court regarding CPSA and Chaketma, we will seek advice on the most expedient way to secure TMS' interest in CPSA. The Company is also advancing exploration for precious and base metals following the grant of the Simitu permit, with results from 173 samples covering the Bey prospect expected in the coming weeks.

Summary of Unfavourable Appeal Decision

PhosCo (ASX:PHO) has been seeking to enforce seizure orders over TMS' interest in CPSA due to non-payment of A$6.7m damages and costs owed by TMS to PhosCo. However, the Appeal Court in Tunis has refused PhosCo's application to commence the process to auction off the 49% interest in CPSA held by TMS, delaying the advancement of the Chaketma Phosphate Project. PhosCo remains committed to enforcing the favourable arbitral award and will continue its efforts to secure redress from TMS for the illegal transfer of PhosCo's shares in CPSA. The Company is also advancing exploration for precious and base metals following the grant of the Simitu permit, with results from 173 samples covering the Bey prospect expected in the coming weeks.