A Federal High Court in Abuja on Wednesday, fixed Feb. 19 for hearing in a suit filed by Global Gas and Refining Limited against Shell Petroleum Development Company of Nigeria Limited (SPDC) after an attempt to settle amicably failed.
Justice Inyang Ekwo fixed the date after counsel to Global Gas, Patrick Ikwueto, SAN, informed the court that out-of-court settlement, earlier opted for by parties, had failed.
Global Gas had, in the suit, sought an order restraining SPDC and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) from selling its onshore asset to Renaissance, a Consortium made up of ND Western Aradel Energy, First E and P, Watersmith and Petrolin.
The News Agency of Nigeria (NAN) reports that in the originating motion marked, FHC/ABJ/CS/413/2024, the company sought the restraining order pending the hearing and the determination of the appeal and cross appeal filed by the parties before the Supreme Court.
The suit followed a protracted dispute over a Gas Processing Agreement (GPA) between the parties and the subsequent arbitration award that has become a subject of appeals.
Global Gas, in the suit, is praying the court to issue interim orders preventing SPDC from divesting its assets and halting the NUPRC from approving the sale.
The company argued that allowing the transaction to proceed would jeopardise its ability to enforce any favorable judgment or arbitration award, as the assets in question are integral to the dispute.
Global Gas contends that the divestment would undermine the ongoing proceedings and render any eventual arbitration or judicial relief ineffectual.
At the resumed proceedings, Ikwueto told Justice Ekwo that though the matter was earlier slated for report on out-of-court settlement, the reconciliation had broken down.
He, therefore, prayed the court for a date to commence hearing and lawyers to Shell and NUPRC confirmed the development.
Ikwueto also moved an application to join the Minister of Petroleum, who is President Bola Tinubu, as a defendant in the suit.
Tony Odidia, who announced appearance for a party seeking to be joined in the suit, said their motion on notice had already been filed.
Odidia, who represented Webster Global Ventures Limited, sought the leave of the court to move the application but it was discovered that NUPRC was yet to be served with the motion.
After listening to the submissions of parties, Justice Ekwo adjourned till Feb. 19 for hearing of the applications for joinder and trial.
NAN reports that Global Gas, in its affidavit in support of the application for joinder, argued that, by the provisions of the Petroleum Industry Act, 2021, the petroleum minister is in the administrative and supervisory capacity for divestment of any asset in the industry.
It said the relief sought might occasion a restriction on the power of the minister to give consent for divestment of asset of the SPDC.
The company added that except the minister of petroleum is joined in the suit, they cannot be bound by the order of the court.
It further said that the joinder of the petroleum minister would avoid the risk of multiple litigation in which the same restraining order/grant of interim measure of protection is sought.(NAN)
