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Home » Morocco Loses Bid to Split Emmerson Arbitration Over Khemisset Potash Project

Morocco Loses Bid to Split Emmerson Arbitration Over Khemisset Potash Project

The dispute stems from Morocco's refusal to grant the environmental approval required for the Khemisset Potash Project, citing environmental concerns, particularly over water use.

Asmae ManlaykhaafbyAsmae Manlaykhaaf
Jul, 20, 2026
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Morocco emmerson case

Emmerson is seeking $1.215 billion (MAD 10.9 billion) in compensation for the “loss and damage they sustained as a result of Morocco's breaches of its obligations under the Agreement.”

Rabat – Australian mining development company Emmerson Plc announced that it has secured a favorable procedural ruling in its international arbitration against Morocco after the tribunal rejected the country’s request to have jurisdictional objections heard separately from the merits of the case.

Emmerson said the claim was filed by its Moroccan subsidiary under the United Kingdom-Morocco Bilateral Investment Treaty (BIT). The company said the arbitration aims to preserve the subsidiary’s rights under the treaty while seeking redress for alleged breaches related to the Khemisset Potash Project.

Emmerson argues that the project was unable to move forward after Moroccan authorities did not grant the environmental approval required for the mining permit. The government’s concerns reportedly focused on the project’s water use.

The company maintains that the delay prevented the development of what it has described as one of Africa’s largest undeveloped potash projects. 

Emmerson is seeking $1.215 billion (MAD 10.9 billion) in compensation for the “loss and damage they sustained as a result of Morocco’s breaches of its obligations under the Agreement.”

The Khemisset Potash Project, located near Rabat, is intended to produce potash, a key ingredient in agricultural fertilizers. Emmerson has previously promoted the project as a strategic source of fertilizer capable of serving markets in Africa, Europe, and the Americas.

The arbitration has been registered with the International Centre for Settlement of Investment Disputes (ICSID) under Case No. ARB/25/22, according to the World Bank institution’s case database.

According to ICSID’s case registry, the tribunal was constituted in October 2025 and has since held its first procedural session, received the claimants’ memorial, and considered Morocco’s jurisdictional objections addressed separately.

The latest update it provides dates back to June 19 when the tribunal held a hearing “on the request to address the objections to jurisdiction as a preliminary question by video conference.”

Investment arbitration under ICSID allows foreign investors to bring claims against states under international investment treaties. Registration of a case marks the formal commencement of proceedings but does not imply any finding regarding the merits of the dispute or the validity of the claims.

Tags: emmerson arbitrationEmmerson MoroccoEmmerson potash
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