Silver Bull (SVBL) arbitration against Mexico dismissed, company owes about US$998K
Rhea-AI Filing Summary
Silver Bull Resources reported that its international arbitration case against Mexico over the Sierra Mojada Project has been dismissed in full, and the company has been ordered to pay approximately US$998,000 of Mexico’s legal costs. The tribunal of the World Bank’s International Centre for Settlement of Investment Disputes found it lacked jurisdiction and/or that the claims were time‑barred under NAFTA and related provisions.
Silver Bull has 120 days from the May 29, 2026 award to decide whether to seek annulment, a process expected to take 18 to 36 months if pursued. Management is also assessing strategic options, including resolving the ongoing blockade at Sierra Mojada and potentially advancing or restarting the project, which hosts measured and indicated resources of about 5.35 billion pounds of zinc and 87.4 million ounces of silver.
Positive
- None.
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- Arbitration loss and cost award: The ICSID tribunal dismissed Silver Bull’s claims against Mexico on jurisdictional and time‑bar grounds and ordered the company to pay approximately US$998,000 of Mexico’s legal costs, creating a non‑trivial cash burden without compensation from the dispute.
Insights
Dismissed claim and cost award increase legal and strategic pressure on Silver Bull.
The arbitration tribunal fully dismissed Silver Bull’s claims against Mexico for the Sierra Mojada blockade, citing lack of jurisdiction and time‑bar limits. It also ordered the company to pay about US$998,000 of Mexico’s legal costs, creating a direct cash outflow.
Under the ICSID Convention, the company has 120 days from the May 29, 2026 award to seek annulment, which could take 18–36 months. An annulment would not re‑hear the case on its merits but could set aside the award on narrow procedural grounds, depending strictly on the committee’s findings.
Strategically, Silver Bull’s only asset is the Sierra Mojada deposit, where the blockade that triggered the dispute remains in place. Management highlights significant zinc and silver resources and notes current prices around US$75/ounce silver and US$1.60/pound zinc, but advancement still depends on resolving access and legal uncertainties.
8-K Event Classification
Key Figures
Key Terms
International Centre for Settlement of Investment Disputes regulatory
NAFTA regulatory
annulment regulatory
NI 43-101 technical
Measured and Indicated Mineral Resource technical
time-barred regulatory
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
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Item 7.01. Regulation FD Disclosure.
On June 1, 2026, Silver Bull Resources, Inc. (“Silver Bull” or the “Company”) issued a press release announcing that the Company’s previously announced arbitration case (the “Arbitration” or the “Claim”) against the United States of Mexico (“Mexico”) has been dismissed in its entirety and that the Company has been ordered to pay a portion of Mexico’s legal costs totaling approximately US$998,000. A copy of the press release is furnished as Exhibit 99.1 hereto and is incorporated herein by reference.
The information set forth in this Item 7.01, including the information set forth in Exhibit 99.1, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 8.01. Other Events.
On June 1, 2026, Silver Bull announced that the Arbitration against Mexico has been dismissed in its entirety and that the Company has been ordered to pay a portion of Mexico’s legal costs totaling approximately US$998,000. The Arbitration arose from Mexico’s expropriation and other treatment of Silver Bull and its investments resulting from the blockade of Silver Bull’s Sierra Mojada property. The Arbitration hearing was held in Washington, D.C. in October 2025, and the Company submitted its post-hearing brief to the tribunal on November 21, 2025 and its costs on December 5, 2025. On May 29, 2026, the tribunal of the World Bank’s International Centre for Settlement of Investments Disputes (ICSID) rendered its final award dismissing the Claim, concluding that the tribunal did not have jurisdiction and/or was time-barred to hear the Claim. The Company is currently assessing the decision to determine whether there are grounds for annulment. The Company has 120 days from the date of the ruling to register for annulment, and the proceeding would be anticipated to take approximately 18 to 36 months from the date of registration. The Company is also evaluating its strategic options following the dismissal, including seeking resolution of the ongoing blockade and/or identifying other exploration projects for potential development and investment.
Forward-Looking Statements
This Current Report on Form 8-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, but are not limited to, disclosure regarding the potential grounds for annulment, the timing related thereto, and the Company’s strategic options. These statements involve known and unknown risks, uncertainties and other factors, including in respect of the Arbitration proceedings and rulings, Arbitration costs, and Arbitration funding, which may cause actual results to differ materially from those expressed or implied by such statements. For additional information regarding factors that may cause actual results to differ materially from those indicated in our forward-looking statements, we refer you to the risk factors included in Item 1A of the Company’s Annual Report on Form 10-K for the fiscal year ended October 31, 2025, as updated by annual, quarterly and current reports that we file with the Securities and Exchange Commission, which are available at www.sec.gov. The Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date hereof, except as required by applicable law.
Item 9.01. Financial Statements and Exhibits.
| (d) | Exhibits. |
| Exhibit No. | Description | |
| 99.1 | Press release, dated as of June 1, 2026 | |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Silver Bull resources, inc. | ||
| Date: June 10, 2026 | By: | /s/ Christopher Richards |
| Name: | Christopher Richards | |
| Title: | Chief Financial Officer | |
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Exhibit 99.1
| June 1, 2026 | OTCQB: SVBL, TSX: SVB |
SILVER BULL RESOURCES ANNOUNCES DISMISSAL OF ITS NAFTA CLAIM AGAINST MEXICO ON JURISDICTIONAL AND TIME LIMITATIONS
VANCOUVER, British Columbia – Silver Bull Resources, Inc. (“Silver Bull” or the “Company”) announces that its Arbitration case against the United States of Mexico (“Mexico”) has been dismissed in its entirety and the Company has been ordered to pay a portion of Mexico’s legal costs totaling approximately US$998,000.
Background
As previously reported, the Company commenced international arbitration proceedings against Mexico under the United States–Mexico–Canada Agreement (“USMCA”) and the North American Free Trade Agreement (“NAFTA”). The arbitration proceeded under the auspices of the World Bank’s International Centre for Settlement of Investment Disputes (“ICSID”), to which Mexico is a signatory.
The arbitration arose from Mexico's actions and omissions with respect to the illegal blockade of Silver Bull’s Sierra Mojada Project, which commenced in September 2019, and remains ongoing.
Tribunal Decision
The tribunal issued its Award dated May 29, 2026, entirely dismissing the Company’s arbitration claims against Mexico due to a lack of jurisdiction and/or for being time-barred.
In respect of NAFTA Article 1110, the tribunal concluded that it had no jurisdiction over Silver Bull’s claim, and that the claim must be dismissed.
In respect of NAFTA Articles 1102, 1103 and 1105, the tribunal dismissed Silver Bull’s claims that Mexico breached its obligations on the basis that the claims were time-barred insofar as the Company sought to base liability on Mexico’s conduct prior to June 28, 2020; outside the tribunal’s jurisdiction insofar as the Company sought to base liability on Mexico’s conduct after June 30, 2020; and unsupported by a sustainable claim that Silver Bull had incurred loss or damage caused between June 28 and June 30, 2020.
In addition to the complete dismissal of the Company’s claims, the tribunal awarded Mexico approximately US$998,000 in legal fees and expenses incurred in connection with its defence of the Arbitration.
Subject to the annulment process as described below, the Award is binding on the parties.
Tim Barry, President and Chief Executive Officer of Silver Bull commented: “In the Company’s view, the tribunal chose to apply a tight and narrow interpretation of the expiry of NAFTA and the related time-bar provisions, notwithstanding that the blockade commenced in September 2019 while NAFTA was in full force and effect and that the Company submitted its claims against Mexico before the expiry of the three-year NAFTA legacy-claim period under the USMCA transition regime.
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Silver Bull strongly disagrees with the tribunal’s decision and believes the Award represents a profound failure to meaningfully address the extraordinary and continuing injustice suffered by the Company at the hands of Mexico. The Company also believes the ruling demonstrates a limited understanding of the practical realities of mining and exploration by the tribunal, where temporary blockades and local disputes are often addressed through domestic legal and governmental processes before a company can reasonably conclude that a project has been permanently impaired.”
Annulment Process
Under the ICSID Convention, the Company has 120 days from the date of the Award to evaluate and pursue annulment remedies. The annulment application is reviewed by a three-member ad hoc committee appointed by the Chairman of the ICSID Administrative Council. The annulment proceeding would be anticipated to take approximately 18 to 36 months from the date of registration.
The Company is analyzing the tribunal's decision with its legal advisers to evaluate its options, including to challenge the decision through the annulment process prescribed by the ICSID Convention.
Path Forward
Notwithstanding the Award, and potential for annulment, Silver Bull is actively evaluating other options and projects, including the possibility of restarting the Sierra Mojada Project.
The economics of the Sierra Mojada Project have changed radically since the Company commenced arbitration proceedings in 2023, with current commodity prices at approximately US$75 per ounce silver and approximately US$1.60 per pound zinc. The Company’s 2023 mineral resource estimate, completed in accordance with NI 43-101 and Subpart 1300 of Regulation S-K, estimates the presence of a measured and indicated global mineral resources of approximately 5.35 billion pounds of zinc and 87.4 million ounces of silver. Management believes that the Project, which has significant additional exploration upside potential, remains an important mineral asset and could be successfully developed in the future subject to the resolution of the ongoing blockade.
The Company will provide further updates to shareholders regarding any annulment proceedings or strategic initiatives as they develop.
THE SIERRA MOJADA DEPOSIT
Silver Bull’s only asset is the Sierra Mojada deposit located in Coahuila, Mexico. Sierra Mojada is an open pittable oxide deposit with a NI 43-101 compliant Measured and Indicated “global” Mineral Resource of 70.4 million tonnes grading 3.4% zinc and 38.6 g/t silver for 5.35 billion pounds of contained zinc and 87.4 million ounces of contained silver. Included within the “global” Mineral Resource is a Measured and Indicated “high grade zinc zone” of 13.5 million tonnes with an average grade of 11.2% zinc at a 6% cutoff, for 3.336 billion pounds of contained zinc, and a Measured and Indicated “high grade silver zone” of 15.2 million tonnes with an average grade of 114.9 g/t silver at a 50 g/t cutoff for 56.3 million contained ounces of silver. Mineralization remains open in the east, west, and northerly directions.
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For a full summary of the Sierra Mojada resource, please refer to Silver Bull’s news release located at the following link:
https://www.silverbullresources.com/news/silver-bull-resources-announces-5.35-billion-pounds-zinc-87.4-million-ounces-silver-in-updated-sierra-mojada-measured-and/
On behalf of the Board of Directors
“Tim Barry”
Tim Barry, MAusIMM CP(Geo)
President and Chief Executive Officer and Director
INVESTOR RELATIONS:
1 604 687 5800
info@silverbullresources.com
Cautionary note regarding forward-looking statements: This news release contains forward-looking information and forward-looking statements within the meaning of applicable securities laws. Forward-looking statements include, but are not limited to, statements regarding the Company’s evaluation of annulment remedies and other legal or strategic options; the potential timing, outcome or cost of any annulment proceeding or related process; the Company’s intention to make the Award available on its website; the Company’s ability to regain possession of, restart work on, advance, complete a feasibility study for, or develop the Sierra Mojada Project; the potential impact of current or future silver and zinc prices on the Project; the existence of exploration upside; and management’s belief that the Project could be successfully developed in the future. Forward-looking statements are based on the Company’s current expectations, estimates, assumptions and beliefs as of the date of this news release and are subject to known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those expressed or implied by such forward-looking statements. These risks include, without limitation, risks relating to the Award and any annulment or other legal process, uncertainty regarding the Company’s ability to regain possession of or access to the Sierra Mojada Project, political and legal risks in Mexico, commodity price volatility, financing risk, technical and permitting risks, resource estimate risk, and the other risks described in the Company’s filings under Silver Bull’s profile on SEDAR+ at www.sedarplus.ca and with the U.S. Securities and Exchange Commission at www.sec.gov. Readers are cautioned not to place undue reliance on forward-looking statements. Any forward-looking statement made in this news release speaks only as of the date on which it is made, and the Company undertakes no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by applicable law.
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