Anaklia Development Consortium Statement Regarding Government’s Own Admission That Any New Port Tender will Likely Fail

08.10.2020

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TBILISI, GEORGIA, 8 October, 2020 – The Anaklia Development Consortium (ADC), the company originally selected by the Government of Georgia to develop the strategic Anaklia Port Project, today issued the following statement regarding the 2021 State Budget:

 

“In the proposed 2021 State Budget, the Georgian Government admits that a new port tender is unlikely to succeed. This is because no credible investor is likely to participate in circumstances where arbitration claims are ongoing about the Government’s treatment of ADC and international investor Mr. Bob Meijer.

 

Hidden on pages 517-518 of the proposed budget is the following passage regarding the intended new tender for an Anaklia Port Project:

 

შესაძლო რისკებიარსებულ მოცემულობის ფარგლებში, შესაძლო საარბიტრაჟო დავის გამო, შესაძლებელია ვერ შეირჩეს მაღალი რეპუტაციისა და გამოცდილების ინვესტორი. ასევე სხვა გაუთვალისწინებელი გარემოებები

 

(“Potential risks – as it currently stands, due to the potential arbitration dispute, an investor of high reputation and experience may not be selected. Also, other unforeseen circumstances.”)

 

This declaration acknowledged that the existing arbitration is a substantial obstacle for the Georgian Government’s plans and any hoped-for deep-water port project at Anaklia.  As the arbitration arises out of the government’s own misconduct, it has only itself to blame for undermining this vital project for Georgia’s future growth and development.

 

By its own admission the Government does not believe any legitimate bidders will emerge for a port project at Anaklia, condemning any hope that Georgia will see the jobs and economic growth that would come with such a strategic project. All the blame for this situation rests at the feet of the Georgian Government.

 

Not only will Georgia not see a new port project at Anaklia any time into the future,  the likely outcome is negative decisions by respected international arbitration tribunals against the Government, thereby creating the obligation to pay substantial damages and also creating economic risk for the country given the damage the government will have caused to Georgia’s standing with international investors.

 

The investors of the Anaklia Development Consortium remain ready to restart this project, inviting new investors and partners so that Georgia can realize the riches this project offers.  All that is necessary is for Georgian Dream and this Government to put aside personal interests and act in the best interest of the people of Georgia.”

 

Further details of the Anaklia Port project and ADC can be found at http://anakliadevelopment.com.