Ascent Resources plc has stopped its Slovenia joint venture partner, subject of an arbitration tribunal over funds owed, from entering self-declared insolvency.
ABUSE
In October 2023, the tribunal ruled Ascent’s entitlement to proceeds above the baseline production profile from all wells in the Petišovci onshore gas concession area.
The company said its subsidiary Ascent Slovenia Ltd had lodged a number of petitions with the relevant court which refused to approve Geoenergo’s application earlier this month.
“The primary points made by the company are that this application is an attempted abuse of the insolvency system by a solvent company attempting to dispose of Ascent’s valid claim against them and that Geoenergo has not engaged with Ascent, its main creditor, to understand if an accommodation (such as a settlement or Ascent taking ownership of Geoenergo or its assets) can be reached which would avoid insolvency.
“The court has therefore accepted the company’s creditor position and further not approved the partner’s self-declared insolvency application.
“A hearing will be held on 23 February to deliberate the matter further.
“Accordingly, the JV partner remains a solvent entity and an administrator has not been appointed.
“The company will reach out again to the JV partners to offer constructive talks.”