• Thursday, March 28, 2024
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Nigeria earns victory in Inter Ocean Oil dispute, relieved of $1.5bn liability

Abubakar Malami and the burden of leadership

The US-based International Centre for Settlement of Investment Dispute headed by William Park has ordered Inter Ocean to pay the Federal Government of Nigeria $660,129.87 as reimbursement of its share of the arbitration costs incurred in the proceedings.

The tribunal also absolved the Federal Government of Nigeria from any liability, maintaining that Nigeria did not breach any of its obligations in the contract agreement with Inter Ocean Development Company and Inter-Ocean Oil Exploration Company.

This is contained in a statement by Umar Gwandu, Special Assistant on Media to the Attorney General of the Federation (AGF) and Minister of Justice, Abubakar Malami, made available to newsmen in Abuja on Wednesday.

The oil companies requested, among others, relief from the tribunal directing the Nigerian government, its relevant privies and instrumentalities to pay aggravated damages in an amount to be proven during these arbitral proceedings which the claimants estimate in excess of US$ 1.5 billion.

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According to the statement, in the judgment which was delivered on Tuesday, the tribunal found that Nigeria has not breached its obligations toward the claimants under Nigerian law or under international law.

“The Tribunal finds no liability on the part of the respondent in connection with claimants’ loss of control over their investment, Pan Ocean,” the judgment read in part.

Commenting, the AGF described the judgment as an addition to the multiple success stories recorded in international litigations by the Federal Ministry of Justice.

Malami, who renewed commitment to patriotically and relentlessly discharge his constitutional mandates in the best interest of the nation and general public, said gone was such an era of connivance to deprive the nation of its resources for gratifying ulterior motives of vested interest at the expense of the Nigerian populace.