Interocean Oil: Nigeria relieved of $1.5b liability, gains $660,000 arbitration cost

The International Centre for Settlement of Investment Dispute in the United States has ordered Interocean Oil to pay the Federal Government of Nigeria $660,129.

This is reimbursement of its share of the arbitration costs incurred in the proceedings.

The tribunal, headed by William Park, held that Nigeria did not breach any of the contract agreement with Interocean Development Company and Interocean Oil Exploration Company.

The firms, which have Olasupo Shasore (SAN) on their legal team, had requested that Nigeria, its relevant privies and instrumentalities pay aggravated damages in excess of $1.5billion.

Ruling on Tuesday, the tribunal said Nigeria did not err in its obligations towards claimants under Nigerian or international laws.

“The Tribunal finds no liability on the part of Respondent in connection with Claimants’ loss of control over their investment, Pan Ocean,” the Judgment reads in part.

Reacting, Attorney-General of the Federation and Minister of Justice, Abubakar Malami (SAN), described the judgment as an addition to successes Nigeria has recorded in international litigations.

Malami said the “era of connivance to deprive the nation of its resources for gratifying ulterior motives of vested interest at the expense of the populace,” is gone.