24th Apr 2014 10:10
LONDON (Alliance News) - Leni Gas & Oil PLC Thursday said it has decided not to appeal the recent UK court ruling against it in the case it brought against Mediterranean Oil and Gas PLC.
The oil and gas exploration and development company said it will now remain focused on its core oil production business in Trinidad, where a major 30 well development program is now underway at the Goudron Field, and in Spain.
In March, the company was informed that its fraudulent misrepresentation action against Mediterranean Oil & Gas had not been upheld.
The dispute dates back to July 2012, when Leni Gas & Oil sold 10% of its interest in a Malta prospect license to Mediterranean Gas & Oil.
Mediterranean Oil & Gas noted earlier this month that it had received an initial GBP600,000 payment from Leni Gas & Oil for its legal costs, part of over GBP1.5 million that Leni Gas was ordered to pay to Mediterranean Oil.
Leni Gas & Oil also said that it has been informed that its drilling rig has arrived at the Goudron Field, and test production at the first new development well on site since 1981 is expected to start over the weekend.
Mediterranean Oil & Gas shares were up 4.1% to 4.48 pence, while Leni Gas & Oil shares were up 7.8% to 0.981 pence, putting it in the top ten AIM All-Share risers Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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