THE Senate has ordered Shell Petroleum Development Company to amicably settle the gas project dispute with Global Gas and Refining Limited.
The Chairman of the Senate Committee on Ethics, Privileges and Public Petitions, Senator Ayo Akinyelure, disclosed this development recently after his committee met with the representatives of the two firms.
The leader of the Global Gas and Refining Limited, Kenneth Yellowe, had signed a petition against the management of Shell Petroleum Development Company before the Senate over a $400m gas project contract terms which was not honoured by the SPDC.
He stated the SPDC failed to honour its side of the agreement binding the Gas Supply Agreement, which it executed with his company in March 1998.
This action by the SPDC has put the over $400m Global Gas and Refining Limited’s funds, secured from international financial institutions and individual investors, in jeopardy because of the decisions made by the company.
This petition was laid before the red chamber on behalf of the President of the Senate, Ahmed Lawan, on October 13.
The leader of the Global Gas and Refining Limited has therefore requested the Senate to look into the matter for an out-of-court settlement and resolution.
The Senate Chairman, Akinyelure, after hearing both parties, urged the SPDC to embrace an out-of-court settlement as suggested by his panel.
