LEKOIL (AIM: LEK), the oil and gas exploration, development and production company with a focus on Africa, announces an update on OPL310 (the “Block”) with reference to the Company’s Application for a Declaration regarding Ministerial Consent filed at the Federal High Court, Lagos on March 27, 2018.
Despite progressing exploration and appraisal activities on OPL 310 as previously announced, LEKOIL has, to date, not received Ministerial Consent for its acquisition of the additional 22.86 per cent interest in OPL 310 or a satisfactory explanation as to why such consent has not been forthcoming. As a result, the Company took the decision to apply to the Federal High Court for a declaration that is expected to expedite the consent process, and preserve the unexpired tenure in the licence.
A hearing before a Federal Judge previously scheduled to take place on Thursday October 18, 2018 was adjourned to November 29, 2018. As a partner in OPL310, Optimum Petroleum Development Company (“Optimum”) had previously applied to be joined as a second defendant in the suit. The parties are in negotiations aimed at seeking a satisfactory conclusion for all parties on the above matter. LEKOIL and Optimum continue commercial discussions regarding the financial and technical obligations of both parties in the block once development work is underway. LEKOIL will provide further updates to the market as appropriate. The Company is represented by Fidelis Oditah QC, SAN.