Tribunal rules on project dispute

 THE International Chamber of Commerce arbitration panel has dismissed all claims by Oil Search Ltd in relation to the Petroleum Retention Licence (PRL) 15 in Gulf.

In a statement last night, InterOil Corporation said the arbitration panel dismissed all claims by the PAC LNG companies, affiliates of Oil Search Limited, “to pre-emptive rights over a share sale and purchase agreement involving an interest in the Elk-Antelope gas field”.

The tribunal declared that Total (E and P) PNG Limited was a party to the PRL 15 joint venture operating agreement.

The panel delivered its award yesterday.

InterOil said in the statement yesterday it looked forward to the continued development of the Elk Antelope LNG project with Oil Search and Total SA. 

On March 28 last year, Oil Search had issued a notice of dispute to InterOil. It related to the transaction announced by InterOil, where it assigned an interest in the Elk/Antelope project area to Total Holdings International BV.

Under the PRL 15 joint venture agreement, Oil Search believes it has pre-emptive rights over the transfer of an interest in PRL 15 from InterOil to the subsidiary of the Total SA Group.

In response to questions from The National last month, an Oil Search spokesperson said then: “We expect a decision early in the first quarter (of 2015).

“The decision will be final (no appeals). The dispute is about ownership only. In the meantime, the joint venture is operating as normal with no impact on operations or progress on appraising and developing the Elk/Antelope gas discoveries.”