We would love to hear your thoughts about our site and services, please take our survey here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Gipps - your 07:10 i agree this could be the case
it woudl tie in with the congresmans letter and wouldnt show the GG as an open and good goverment to work with
20 years, 400 million dollars invested, 8 million dollars vat rebate due but not pursued as GG are toght for cash- then they screw us over.
Doesnt paint them as an open and honest partner and good to do business with now would it.
All just in my opinion and not currently a known fact.
The article seemed to restate the original claims by either party but no mention of agreements reached so far under the Arb if there are any. To date it look like FRR & the GG had formed a joint company and news articles seemed to back this up. In addition Zaza apparently reported to journalists that just the length of the PSA remained past 2027.
This article appears to be recent but I do wonder if the source representing the GG is holding back and not wanting to give away details of any progress/agreement already made to avoid any chance of putting his foot in it due to potential sensitivity of the situation. If not then this then by this source very little progress has been made and it's all down to the verdict of the Arbitration. That would be a situation I would not relish as the claim by the GG puts a lot at state. Quite frankly that they wish to take back the area after oil has been discovered and the hard work and money spent is quite ludicrous, little more than vilians. I can't see anyone wanting to deal with them if they go down that path they will scare off all outside investment.
Still a case of sit and wait for the actual outcome to be announced it seems.
IMO gogc will pay Xyz to FRR worst case and then do a deal with SM themselves, otherwise they really are golden tickets
Overall on a SMajor offering a buy out to Frr then would not think that SMajor would worry to much on the length of PSA Frr have left. As GOGC would have thought would come to an agreement with the SMajor pretty fast on extending it by a good bit.
My thoughts are that a SM or majors have made an offer to FRR and the GOGC. Obviously both parties will know what the offer is. The stumbling block is the PSA. Why should the GOGC do a deal with us beyond 2027 when they can get 100% of the revenue beyond that year.
It does feel like we will reach agreement with the GOGC at some point if it is true that they have made an offer to us which has been rejected atm.
It's close now .
Quote: However, a corporation spokesman said the corporation offered Frontera" a settlement, but the company declined the offer.
Link below, on mobile earlier this morning. Similar content, states Frontera turned down an offer at some point. Hopefully a sign that an agreement will be reached between the parties. somewhere between the offer and what Frontera are looking for. which is a positive for me. GLA
https://bm.ge/ka/article/frontera-saqartvelosgan--35-mlrd-is-kompensacias-itxovs---yvelaferi-davis-shesaxeb/47269
2nd Part
..........We will provide you with additional information when it comes to content after the arbitration award. The disputed amount is not small. I will avoid naming him at this point. There are several alternative requirements, so I will refrain from specific numbers.
Our lawsuit claims are almost over. In the first half of the year, we expect the arbitral tribunal to finalize its decision.
The Arbitration Tribunal is established by the Plaintiffs themselves, in accordance with UNCITRAL rules. The body designated by the contract is the Hague Permanent Court of Arbitration.
After the corporation and the State Oil and Gas Agency filed their claims, Fronteira responded in their own way. Accordingly, the company has filed fraudulent claims, one of which is related to $ 3.5 billion in compensation.
I will not go into the details, but Frontera itself has raised the issue of asking this issue from David. The process started in 2019, the second half of the year, Frontera. The point is that the parties exchanged their claims, arguments and so on during the arbitration process.
At this point, we fully support the claims we have set.
Since the beginning of the dispute, we have refrained from unilateral action, which would have prevented the company from obtaining oil and gas in its contract territory, "said Vazha Khidasheli.
About Frontera's activities in Georgia:
Frontera came to Georgia in 1997. In 1997, the Company signed a petroleum exploration and exploration work with the Ministry of Energy of Georgia on the XII License Block in Eastern Georgia.
More specifically, Frontera's extractive infrastructure at Tariban Valley
Source-https://bm.ge/ka/article/frontera-stan-iuridiuli-dava-quotnavtobisa-da-gazis-korporaciasquot-74-milioni-ujdeba/47303
Jiffy - thanks for the info on the link. I found a few articles about FRR on the site but I can't figure out the dates. So this is a the article that is top of the list so I assume is the latest -
By: Shota Tkeshelashvili
Georgian Oil and Gas Corporation is involved in an arbitration dispute with US energy company Frontera. Frontera demands from the state to fulfill the terms of its contract with the state and return 99% of the contracted territory to Georgia. For its part, Frontera puts forward the demands of the state. In September 2018, the company filed for arbitration seeking a $ 3.5 billion compensation from the Georgian Oil and Gas Corporation.
The British-American law firm Hogan Lovells International is defending the interests of the Oil and Gas Corporation in the dispute. The service contract with the company was signed on November 6, 2017 on the basis of a government decree and its total estimated cost is $ 7.4 million. It is one of the most expensive contracts awarded by a state-owned company for legal services. At today's exchange rate, the volume of the contract exceeds GEL 20 million.
According to documents uploaded to the State Procurement Agency system, after the contract was signed in 2017, the actual amount paid to Hogan Lovells International is $ 6,485,594. The payment was made with 28 individual payments. (Purchase code CMR170189525)
Hogan Lovells International itself is a law firm founded in 2010. Headquartered in London and Washington, DC, it is one of the largest law firms in the world today. The company employs 2,800 lawyers. In 2018, the company's revenue from services was $ 2.12 billion.
In addition to the Oil and Gas Corporation, Hogan Lovells International also has a contract with the Roads Department of the Ministry of Infrastructure. The aforementioned acquisition cost 472,000 euros. (Purchase code CMR200002902)
What's going on with Frontera in dispute?
Vazha Khidasheli, an adviser to BMG's Oil and Gas Corporation, said that at this point Frontera had expressed readiness to reject the $ 3.5 billion request, but that the company is making other demands. Arbitration proceedings are pending in The Hague Permanent Court of Arbitration. GOGC hopes that the verdict will be announced in the first half of 2020.
"There is talk of an arbitration dispute between the parties. The arbitration dispute is being conducted at an impartial arbitration tribunal formed by the parties on a parity basis. Accordingly, qualifying an arbitration dispute or attempting prosecution or expropriation is absolutely inappropriate.........
Article posted on 20th at BM.GE also linked on their facebook site. Titled: All about it.
Cannot link it but easily found. IMO we will hear results soon and hope B2O is near the mark.