* Telenor says to appeal court decision
* Another Telenor appeal to be heard Aug 6
* Case seen key to investor confidence in Russia
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By Anastasia Teterevlyova
MOSCOW, July 28 (Reuters) - Norway's Telenor lost a lawsuit on Tuesday to block a forced sale of its stake in Russian mobile firm Vimpelcom but promised to appeal the decision.
Analysts watching the case say the forced sale of Telenor's stake in Russia's second-biggest mobile company would further undermine confidence in the rule of law in Russia and dampen investor sentiment. Telenor shares were down 2 percent at 1342 GMT.
Bailiffs issued an order last month to auction the shares and the Federal State Property Agency was entrusted with organising the sale.
Bailiffs plan to sell the stake to cover a $1.7 billion award by a Siberian court, which had ordered the Norwegian group to pay the amount to Vimpelcom after Farimex, a tiny Vimpelcom shareholder, claimed Telenor had held back Vimpelcom's expansion in Ukraine.
Telenor is contesting this ruling, which it views as part of a protracted dispute with the powerful conglomerate of Russian billionaire Mikhail Fridman, Alfa Group, though Alfa has denied links to Farimex.
Analysts say Telenor's dispute with Alfa resembles the battle between Alfa and oil major BP last year, which also involved court hearings and law enforcement agencies.
Telenor said earlier this month it was "eager" to resolve problems with Alfa and would be open to a number of potential solutions for the fate of the mobile ventures in Russia and Ukraine.
Telenor's suit on Tuesday was seeking to halt the transfer of its shares in Vimpelcom to the Federal State Property Agency. Its motion for a stay of execution of the transfer was denied on July 7.
Telenor's separate appeal against the fine is due to be heard by another court in Siberia on Sept. 30, but bailiffs have said the hearing of the appeal would not halt enforcement or stop them from selling the stake.
Telenor Chief Executive Jan Fredrik Baksaas told Reuters this month that before any deal with Alfa can be reached, a court case in Siberia must be dropped.
On Aug. 6, the Ninth Moscow Arbitration Court of Appeal will hear Telenor's appeal against a June 3 decision by the Moscow Arbitration Court which denied Telenor's request to stay the enforcement of the award.
On Tuesday, a Telenor lawyer told reporters in the courtroom that the company would appeal the latest ruling.
"We have said that we will use all means available to stop and delay a forced sale (of our shares)," Telenor spokesman Dag Melgaard told Reuters in Oslo. (Additional reporting by Aasa Christine Stoltz; editing by Simon Jessop) (Writing by Dmitry Zhdannikov, + 7 495 775 12 42, dmitri.zhdannikov@reuters.com)