Legal News Oil & Gas

Ascent consults lawyers over partner’s insolvency move

Ascent Resources plc is seeking legal advice after its Petišovci gas joint venture partner, and subject of an arbitration tribunal, began insolvency proceedings in Slovenia.

Investigate: Ascent will collaborate with the necessary authorities to evaluate any potential misappropriation of those revenues (stock photo)

CHALLENGES

In October, the tribunal confirmed Ascent’s entitlement to proceeds above the baseline production profile from all wells in the concession area.

Following partner Geoenergo d.o.o.’s move towards insolvency proceedings, Ascent said it was working with its Slovenian lawyers across “multiple fronts”.

These include challenging Geoenergo plans to enter into self-declared insolvency; registering Ascent Slovenia Ltd (ASL)’s “significant” creditor position with the courts; working to protect the status of the concession where possible; and also potentially filing civil claims and initiating criminal charges against the directors and shareholders of Geoenergo (which may include Nafta Lendava d.o.o., a 100% Republic of Slovenia controlled entity, and Petrol d.d. which is a publicly listed entity and approximately 30% controlled by the Republic of Slovenia).

Ascent added that an administrator for Geoenergo was expected to be appointed shortly.

“The company will be asking to investigate where the hydrocarbon revenues, which have been historically received by Geoenergo and claimed by ASL for some time and which now, following the arbitration outcome, are indisputably owed to ASL, are.

“ASL will collaborate with the necessary authorities to evaluate any potential misappropriation of those revenues.”

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