Barracuda: Interlocutory Injunction Granted
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE EUROPEAN UNION (WITHDRAWAL) ACT 2018). UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.
6 May 2022
ADM Energy PLC
("ADM" or the "Company")
Barracuda Oil Field: Interlocutory Injunction Granted
ADM Energy PLC (AIM: ADME; BER and FSE: P4JC), a natural-resources investing company, provides an update on the legal proceedings in respect of its interest in the Barracuda oil field.
As previously announced on 13 December 2021, the Company and K.O.N.H. (UK) Ltd ("KONH") obtained an interim injunction at the Federal High Court of Nigeria, Lagos ("Court") restraining Noble Hill-Network Limited ("NHNL"), its officers, agents, privies or person howsoever connected from selling, disposing, divesting or tampering with the 70% shareholding interest of KONH in NHNL to third-party investors or in any other manner whatsoever.
Subsequently, NHNL ("the Defendant") applied to the court to set aside the interim injunction order. The Court pronounced NHNL's application as lacking in merit and the application was dismissed.
ADM and KONH's application for interlocutory injunction on which the above interim order was based, argued that the restraining order of the court be maintained against the Defendant until the final determination of the suit. The Court found the following:
1. There is a real threat to the Plaintiffs' (ADM and KONH) rights and interests as the Defendant has demonstrated its moves to bring a third-party investor;
2. There is a real issue to be tried or heard;
3. The Defendant's moves to bring in a third-party investor at this stage will further compound an already compounded issue;
4. The balance of convenience is on the side of granting the application in favour of the Plaintiffs; and
5. The Plaintiffs have shown that there will be irreparable loss if the interlocutory injunction is not granted against the Defendant.
The Court granted ADM and KONH's interlocutory injunction application which restrains NHNL, its officers, agents, privies or person howsoever connected from selling, disposing, divesting or tampering with the 70% shareholding interest of KONH in NHNL to third-party investors or in any other manner whatsoever until final determination of the suit.
The Company has been advised that, further to the announcement of 2 March 2022, the Court has further adjourned this matter to 30 June 2022. The interlocutory injunction is firmly in place and a further update will be made in due course.
ADM Energy plc
+44 20 7459 4718
Osamede Okhomina, CEO
Cairn Financial Advisers LLP
+44 20 7213 0880
Jo Turner, James Caithie
+44 20 3764 2341
Claire Louise Noyce
ODDO BHF Corporates & Markets AG
+49 69 920540
Michael B. Thiriot
+44 20 7618 9100
Harry Chathli, Alexis Gore, Tan Siddique
About ADM Energy PLC
ADM Energy PLC (AIM: ADME; BER and FSE: P4JC) is a natural resources investing company with an existing asset base in Nigeria. ADM Energy holds a 9.2% profit interest in the oil producing Aje Field, part of OML 113, which covers an area of 835km² offshore Nigeria. Aje has multiple oil, gas, and gas condensate reservoirs in the Turonian, Cenomanian and Albian sandstones with five wells drilled to date.
ADM Energy is seeking to build on its existing asset base in Nigeria and target other investment opportunities across the West African region in the oil and gas sector with attractive risk reward profiles such as proven nature of reserves, level of historic investment, established infrastructure and route to early cash flow.