Dana Gas, partners awarded $14mn interest in KRG row

DUBAI / Reuters

Dana Gas and its consortium partners have been awarded $14 million plus interest in a dispute with Iraq’s Kurdistan Regional Government (KRG), the UAE company said on Tuesday.
The case was filed with the London Court of International Arbitration in 2013 over payments for gas liquids production. The court ordered the KRG to pay $14 million along with an interest rate of Libor plus 2 percent as a first partial payment for the legal costs
incurred, Dana said in a
statement.
The KRG was also asked to bear 85 percent of the arbitration fees and tribunal fees and expenses up to Nov. 27, 2015. Legal costs incurred in the arbitration case after that date will be subject to future costs awards from the tribunal, Dana said.
Dana Gas, which aims to restructure a $700 million sukuk after delays in payments from Egypt and Iraq’s Kurdish region left it cash-strapped, has invested in excess of $1.2 billion together with its partners and has produced over 150 million
barrels equivalent of gas and petroleum liquids in Iraq’s Kurdistan.
Dana Gas, Crescent Petroleum, and Pearl Petroleum Company filed a case against the KRG at the London Court of International Arbitration
in October 2013 regarding their contract with the Kurdish government.