Dana Gas has notified that Pearl Petroleum Co Ltd (Pearl Petroleum) has commenced arbitration proceedings against Enerflex, the EPC contractor of the KM 250 project. 

 

This information follows the company’s ADX disclosure on the August 20, the company said.

 

Dana Gas is a partner in Pearl Petroleum along with Crescent Petroleum and others.

 

“On 19 August 2024, Pearl Petroleum issued a notice of termination to Enerflex, following numerous performance issues which have arisen during the execution of the contract works,” it said.

 

“That termination took Effect on 9 September, and Pearl Petroleum has initiated arbitration action in accordance with the contract to recover costs and damages arising from Enerflex’s defective performance.

 

“Pearl Petroleum is committed to ensuring the successful completion of the project and to safeguarding the interests of its stakeholders and the people of the KRI. Dana Gas will update the market on the new expected completion date in due course as it works with its Pearl Petroleum partners to bring the project back on track,” the statement said. – TradeArabia News Service