21st Apr 2016 10:57
LONDON (Alliance News) - San Leon Energy PLC Thursday said a claim has been filed against its subsidiary, Aurelian Oil & Gas Ltd, as part of the ongoing dispute about the subsidiary's acquisition of a stake in Energia Zachod.
As part of a lengthy dispute stretching back to 2013, San Leon said Avobone NV and Avobone Poland BV have filed the claim against its subsidiary in Ireland.
San Leon said its approach and opinion on the dispute remains unchanged, but did state any action in Ireland would be "inappropriate" as none of Aurelian's companies are incorporated in the country or do any business there.
The dispute concerns Aurelian's acquisition of Avobone's 10% shares and loans in Energia Zachod, which is the holder of the Siekierki asset in Poland. San Leon has been contesting the claims, but a court ruled last May that Aurelian had to pay GBP13.0 million, including costs, to settle the case.
San Leon then appealed, and lost, meaning that award is still outstanding. However, the claim rose to GBP15.5 million after accrued interest and costs were taken into account.
Avobone is attempting to get San Leon to pay the outstanding amount as the parent company of Aurelian, as per the court ruling, but San Leon denies this guarentee exists. Even after losing its appeal, San Leon said it would continue to defend itself vigorously from the claim.
With the filing made on Thursday, Avobone looks as unlikely to cave in as San Leon.
"The company's approach to the dispute remains unchanged," said San Leon. "The company believes any action in Ireland to be inappropriate as none of the Aurelian companies is incorporated in Ireland, does business there, or has any material connection with that jurisdiction."
San Leon shares remain suspended.
By Joshua Warner; [email protected]; @JoshAlliance
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
SLE.L