The Business and Property Court in London will on October 23 deliver judgment in a case between the Federal Government of Nigeria and Process & Industrial Developments (P&ID) Limited.<\/p>\n
This is coming as the Chief Executive Officer of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mr. Gbenga Komolafe, has urged the bid winners for the Nigerian Gas Flare Commercialisation Programme (NGFCP), to hasten site development.<\/p>\n
Meanwhile, the federal government, alongside its partners, has commenced the deployment of tiny tankers in the transportation of crude oil through the creeks of the Niger Delta, following a protracted inability to fix the often-vandalised pipelines in the region.<\/p>\n
According to our source, the judgment in the P&ID suit will be delivered by Justice Robin Knowles.<\/p>\n
P&ID had agreed with Nigeria in 2010 to build a gas processing plant in Calabar, Cross River State, but the company said the deal collapsed because the Nigerian government did not fulfill its end of the bargain.<\/p>\n
Claiming Nigeria breached the terms of the contract, P&ID took a legal recourse and secured an arbitral award against the country.<\/p>\n
On January 31, 2017, a tribunal ruled that Nigeria should pay P&ID $6.6 billion as damages, as well as pre-and post-judgment interest at seven per cent.<\/p>\n
Following the judgment, Nigeria applied for an extension of time and relief from sanctions.<\/p>\n
The application was granted by Ross Cranston, a judge of the Business and Property Courts of England and Wales, in September 2020, thereby returning the case to arbitration.<\/p>\n
Nigeria had alleged that the gas deal was a scam conceived to defraud the country.<\/p>\n
Lawyers representing the federal government told the court that P&ID officials paid bribes to secure the contract.<\/p>\n
But P&ID denied the allegation and accused the Nigerian government of \u201cfalse allegations and wild conspiracy theories\u201d.<\/p>\n
In a March trial at the court, Nigeria alleged that the contract was secured through dishonest means that included bribery and perjury and that the arbitration award, which has now risen to $11 billion because of interests, should be quashed.<\/p>\n
In September, it was reported that representatives of P&ID were actively seeking negotiations with the federal government to reach an out-of-court settlement.<\/p>\n
Speaking in Abuja during the establishment of a \u2018College of Awardees\u2019 for bid winners of the NGFCP, Komolafe said the forum will leverage the collective experiences of the awardees.<\/p>\n
A statement signed by the NUPRC Chief Executive said the forum would also help connect other stakeholders and critical support systems to preferred bidders\/permit holders.<\/p>\n
In addition, Komolafe explained that it would bring together world-class service providers, including technology providers\/Original Equipment Manufacturers (OEMs), financiers, and multilateral agencies to foster optimal delivery of the flare commercialisation projects.<\/p>\n
Speaking at the inaugural Post Award Forum of Awardees (PAFA) and inauguration of the NGFCP College of Awardees in Abuja, Komolafe restated the organisation\u2019s belief that the move would also facilitate significant opportunities for partnerships and collaborations.<\/p>\n
The forum was attended by NGFCP preferred bidders\/awardees, government agencies and functionaries, international partners, and multilateral agencies.<\/p>\n
Others included: Development partners and a network of the business community comprising investors, technology providers, financiers, and service providers.<\/p>\n
Hosted from the live transmission centre at the NUPRC\u2019s headquarters, the event, NUPRC said, had more than 200 participants from across the world.
\nKomolafe emphasised the need for the awardees to secure full title to the relevant flare sites by qualifying for the grant of permit to access the sites and progress project development towards the start of beneficial operations.<\/p>\n
\u201cWe, therefore, encourage all interested entities to take advantage of the platform to network and close deals under a win-win value proposition,\u201d he added.<\/p>\n
He hinted that the forum will be convened periodically, possibly twice a month in the first instance, or at the college\u2019s desired frequency as the programme implementation unfolds.<\/p>\n
\u201cPlease be informed that the federal government is focused on deepening our gas market and ensuring decarbonisation of upstream operations in line with Nigeria\u2019s Energy Transition Plan (ETP).<\/p>\n
\u201cThe NGFCP is a critical platform through which these mandates can be achieved, and your preferred bidders are integral to this journey to bring to fruition the agenda of the government,\u201d he stressed.<\/p>\n
He urged awardees to take advantage of the current global gas market realities and quickly bring the projects to operation.<\/p>\n
\u201cI urge you to hit the ground running in developing the awarded sites in line with sound engineering and industry best practices,\u201d he noted.<\/p>\n
He pledged that the commission would continue to provide a transparent, predictable, and enabling regulatory environment for operators in line with its technical and commercial statutory mandates to optimise the development and exploitation of the nation\u2019s hydrocarbon resources.<\/p>\n
The Business and Property Court in London will on October 23 deliver judgment in a case between the Federal Government of Nigeria and Process & Industrial Developments (P&ID) Limited. This…<\/p>\n","protected":false},"author":1,"featured_media":108833,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[5],"tags":[],"class_list":["post-108832","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\n