By John Lee.
Dana Gas has announced that the London Court of International Arbitration (LCIA) has ordered the Kurdistan Regional Government (KRG) to pay $1.98 billion to a consortium that it leads.
In a statement to the Abu Dhabi stock exchange, the Sharjah-based company claims that the judgement is final, binding and internationally enforceable, and that payment must be made within 28 days.
The claims relate to payment for production at the Khor Mor and Chemchamal gas fields.
Meanwhile, the KRG has hit back, pointing out that the court has yet to hear its counterclaims, provisionally quantified by the KRG’s experts at more than $3 billion, and accusing the consortium of creating “an impression that is materially misleading and incomplete”.
Shares in Dana Gas have risen 17 percent, on heavy volume, since the announcement.
(Sources: Dana Gas, KRG, Reuters, BasNews)