XSTRATA COAL QUEENSLAND PTY LTD AND OTHERS V BENXI IRON & STEEL (GROUP) INTERNATIONAL ECONOMIC & TRADING CO LTD

[2020] EWHC 324 (Comm), Queen’s Bench Division, Commercial Court, Mr Justice Butcher, 21 January 2020

Arbitration – Running of time for appeal – Effect of refusal of tribunal to review award – Serious irregularity – Obligation of tribunal to produce uncertain and unambiguous award – LCIA Rules – Arbitration Act 1996, sections 57, 68(2)(f) and 70(3)

An award dated 20 August 2010 ordered the defendant to pay US$27,846,000 with interest to four claimants, Xstrata, Itochu, Sumisho and ICRA OC for breach of a contract for the sale of coal. The contract contained an arbitration clause specifying LCIA Rules However, the contract referred to ICRA NCA and not ICRA OC. An attempt to enforce the award in China was rejected on the ground that ICRA OC had been shown to be a party to the arbitration. The claimants, having obtained an extension of time, applied to the arbitrator under rule 27 of the LCIA Rules for an explanation as to his decision on the identity of the parties. The arbitrator ruled that he had no jurisdiction to hear the application because rule 27 did not permit reopening the arbitration so that evidence could be heard as to the identities of the parties. The claimants appealed on the ground of serious irregularity under section 68(2)(f), namely that the award was uncertain or ambiguous.