This Decision addresses an application by Freeport-McMoRan Inc. (“Applicant”) for reconsideration of the ad hoc Committee’s prior decision to suspend the annulment proceeding. The suspension was granted pending the outcome of a request for interpretation of the underlying Award filed by the Republic of Peru (“Respondent”) before the original arbitral tribunal.

The principal procedural issue was whether the Committee possessed, and should exercise, the power to reconsider and reverse its Decision on Suspension. The Applicant contended that the power existed and that the suspension was based on a misunderstanding, arguing that the parties had already extensively briefed the relevant grounds for annulment concerning the Tribunal's treatment of jurisdiction. The Respondent countered that the power of reconsideration is exceptional and that proceeding with the annulment would be imprudent, as the interpretation could fundamentally alter the issues before the Committee.

The Committee affirmed its inherent power to reconsider procedural decisions but was not persuaded to reverse its ruling. The Committee's central reasoning was that, while the parties had made submissions on the jurisdictional issues, these were brief, alternative arguments. It concluded that if the interpretation confirmed the Award was based on a lack of jurisdiction, the focus and extent of the parties' arguments on annulment would need to be significantly different and more developed. The Committee determined it could not predict the outcome of the interpretation and that, in any event, further submissions would be required post-interpretation.

Accordingly, the Committee dismissed the Applicant's Request for Reconsideration, thereby upholding the suspension of the annulment proceeding. The question of costs was reserved.