The gas-producing Pearl Consortium led by UAE-based Dana Gas has scored a first victory in its legal battle against Iraq’s Kurdistan Regional Government (KRG). The London Court of International Arbitration has ordered the KRG to pay arrears to the consortium and maintain payments till the case runs its course. The ruling sets a precedent and foreign contractors in the Kurdish region, many of whom are yet to be paid their costs, will be watching Erbil’s response.
Dana Gas, in a disclosure to the Abu Dhabi Stock Exchange on 13 July, says the consortium, a joint venture with sister company Crescent Petroleum and with Austrian OMV and Hungarian MOL, were successful in their application to the tribunal for an interim ruling, which now requires the KRG to resume regular payments for gas and liquids delivered under Pearl’s Khor Mor contract. The interim ruling covers the period from 21 March, the date of the application, to 10 July, when the tribunal announced its decision. It also ordered that payments be maintained until the case is concluded. (CONTINUED - 1128 WORDS)
