Lalive with Lupaka in securing payment from Peru further to ICSID award
Lalive confirmed today that it continues to assist Lupaka, as it progresses in securing receipt of the full proceeds of an ICSID arbitration award announced in July last year. The award relates to a dispute under the Free Trade Agreement (“FTA”) between Canada and Peru and concerned Lupaka’s investment in the Invicta gold project, located in the Andean highlands of Peru.
The context
In July 2025, the Tribunal unanimously found that Peru had breached its obligations under the FTA by failing to provide full protection and security, fair and equitable treatment, and by unlawfully expropriating Lupaka’s investment. The Tribunal concluded that the actions of the Parán Community, including the blockade, occupation, and eventual seizure of the Invicta mine, were attributable to the State of Peru. It also found that Peru’s national authorities failed to exercise due diligence in protecting the investment, relying instead on a policy of dialogue that proved ineffective.
The Tribunal awarded Lupaka compensation of USD 40.4 million plus interest, 100% of the amount claimed, as well as full reimbursement of its legal costs and expenses, amounting to USD 4.2 million. As at June 2026, the outstanding amount, including accrued interest, was more than USD 70 million.
Following an international enforcement campaign in various jurisdictions orchestrated by LALIVE, Peru has now agreed to fully compensate Lupaka; Peru paid 70% of the outstanding amount on 31 July 2026 and has committed to pay the remaining 30% by the end of December 2026.
The Lalive
Lalive partners Marc Veit (London) and Jaime Gallego (Geneva) led the cross-border team representing Lupaka in the arbitration proceedings and has continued to represent Lupaka in the subsequent enforcement efforts, supported by counsel Luis Miguel Velarde Saffer (Geneva) and associate Stela Negran (London).
Bench Walk Advisors provided funding to Lupaka in relation to the dispute.
The Republic of Peru was represented by a team from the Ministry of Economy and Finance and Arnold & Porter.
