Abu Dhabi - Mubasher: The London Court of Arbitration (LCIA) has ruled in favor of Dana Gas in relation to the sale and purchase agreement (SPA) for its oil and gas assets in Egypt.
On 28 April 2021, IPR Wastani Petroleum, a member of the IPR Energy Group, submitted a request for arbitration to dispute Dana Gas’ right to terminate the agreement, under which the company was to sell its Egyptian assets, according to a press release on Sunday.
The tribunal rejected IPR Wastani’s claim in its entirety and concluded that Dana Gas’ termination of the SPA was valid.
On 22 April, the natural gas company terminated its agreement to sell its Egyptian assets to IPR Wastani, as the parties had not completed a number of conditions precedent to the transaction by 14 April.
Under the court’s rule, the assets will continue to be operated by Dana Gas for the benefit of its shareholders and the Egyptian people.
The CEO of Dana Gas, Patrick Allman-Ward, said: “The Board has made a decision to continue to hold and operate the assets in the best interests of the Company and its shareholders as well as for our broader stakeholders. We are committed to continuing to operate our onshore assets to the highest operational and safety standards.”
