RNS30 Apr 2021 09:29
Sales. Average daily gross gas sales rate for the quarter of 5.2 MMscf/d (Q4 20: 5.1 MMscf/d) of natural gas plus gross 5,473 bbls (Q4 20: 3,109 bbls) condensate was produced safely and sold to industrial customers in the Douala area.
La-108 Performance. The well continues to supply the base demand, topped up by well La-105. The water production from the well continues to fall, albeit slowly.
As has been previously disclosed, RSM instituted an arbitration in Texas, USA under ICC rules in which it is asserting material claims primarily related to invoices for the drilling of wells La-107 and La-108, and certain audit exceptions. The substantive matter has just been heard by an Arbitration Panel under ICC rules in the U.S.A., though it will take several months before the Panel publishes its findings.
Arbitrations under ICC rules are confidential processes, and VOG is thus not permitted to provide detailed comments on them, beyond saying that it continues to vigorously defend the claims raised by RSM. The amounts under dispute in this arbitration, including GDC's counterclaims, are significant and an adverse finding could have a material impact upon the results and position of the Group
So a number of points of interest here.
It doesn’t look like La-108 can even supply a small demand of 5.2 MMcsf without a back up from La.105 when vog were looking for 40MMscf.
Second the Arbitration in the US , so if that goes against vog it looks like they will be in real trouble.