7th Aug 2014 10:00
LONDON (Alliance News) - Mediterranean Oil & Gas PLC Thursday said it has now settled all the legal proceedings and legal costs with Leni Gas & Oil PLC, after its received the final amount of legal costs from Leni Gas & Oil earlier this week.
Mediterranean Oil & Gas and Leni Gas & Oil reach an agreement back in March for Leni Gas & Oil to pay GBP1.2 million in legal costs, plus interest.
Mediterranean Oil & Gas received GBP600,00 in April, and a total of GBP616,438 on Wednesday, which included interest accrued.
"This means that the issue of legal costs is now finally resolved and there remain no further issues or steps to be taken in the legal proceedings," said Mediterranean Oil & Gas in a statement Thursday.
The dispute dated back to July 2012, when Leni Gas & Oil sold 10% of its interest in a Malta prospect license to Mediterranean Gas & Oil. In March, Leni Gas & Oil was informed that its fraudulent misrepresentation action against Mediterranean Oil & Gas had not been upheld, and in April, Leni Gas & Oil decided not to appeal the ruling.
In a separate statement Thursday, Mediterranean Oil & Gas said at a court hearing Wednesday that its acquisition by Rockhopper Exploration PLC was sanctioned by the court.
It said a further court hearing will be held on Friday to approve the reduction in capital, and as a result its shares will be suspended and cancelled on the AIM market on Friday.
Mediterranean Oil & Gas shares were flat mid-morning Thursday, at 6.25 pence. Leni Gas & Oil shares were down 2.8% at 3.28 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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