Ascent Resources plc announced it had signed a binding damages-based agreement for its arbitration claim against the Republic of Slovenia.
ARBITRATION
Ascent said that the agreement was with Enyo Law LLP who filed the notice of dispute and represented the company in the pre-arbitration negotiations.
The agreement will start arbitration proceedings against Slovenia under the Energy Charter Treaty and UK-Slovenia Bilateral Investment Treaty.
Enyo will also advance the disbursements which are expected to be incurred in the pursuit of the claim.
The law firm will only be paid out of the proceeds of the arbitration in the event of a successful damages award or execution of a binding settlement agreement (if achieved sooner), added Ascent.
NO RISK
Executive chairman James Parsons said that the agreement represented an important milestone for Ascent and its shareholders.
“Ascent has secured for itself a non-equity dilutive and, subject to completion, a fully funded non-recourse position through this damages-based arrangement which gives its shareholders no financial risk and potentially highly material reward.
“We will continue to work closely with Enyo to pursue our claim in as effective a manner as possible, and will keep investors updated as we progress the case.”
Ascent previously had onshore European and Caribbean-Hispanic America oil and gas opportunities and has current assets in Cuba and Slovenia.