Business
Response to Media
Response to Media.
About this update from Enwell Energy Plc
[{"type":"text","content":"\n Regal Petroleum PLC\n14 November 2005\n\n\nImmediate Release 14 November 2005\n\n\n\n REGAL PETROLEUM PLC\n\n ('Regal')\n\n\n\n Response to Media\n\n\n\nCommenting upon the weekend's press commentary on its announcement made on\nFriday, 11 November 2005, the Board of Regal would like to make the following\nstatement:\n\n\n\nRegal has made it very clear that there were two sets of legal proceedings that\naffected its business operations in Ukraine. This was spelled out in the\nCompany's announcement made on 29 September 2005 when the second of these legal\nproceedings first manifested itself and again on 3 October 2005 when the outcome\nof the Appeal in the first case became available. Previously on 26 September\n2005 Regal issued an announcement explaining the circumstances of the first case\nin detail.\n\n\n\nDetails of the two cases:\n\nThe first case involves a dispute on the dissolution and distribution of the\nassets of the previous joint venture in Ukraine between Regal and\nChernigivnaftogasgeologia (CNGG). The joint venture, 75% Regal and 25% CNGG,\ncovered the exploration of and pilot production from what are now Regal's\nUkrainian licences/assets. It is a case brought by Regal to establish the\nposition regarding the distribution of assets (wells and infrastructure)\nfollowing the dissolution of the joint venture in June 2004, prior to the award\nof the present 20 year production licences to Regal. It does not relate to the\nvalidity of these production licences.\n\n\n\nThe initial hearing of this case found in favour of Regal directing that the\nphysical assets of the joint venture be acquired by Regal from CNGG with a cash\ncompensation payment. This payment was determined by an auditor appointed by the\nCourt. This ruling was appealed by CNGG and early in October 2005 this appeal\nwas heard and the Appeal Court upheld the ruling of the original court. CNGG\nhave again appealed, this time to the Ukraine Supreme Commercial Court and this\nfurther appeal will be held in the near future. It is at the discretion of\neither party, irrespective of the outcome of any further appeal, to take this\ncase to the Ukraine Supreme Court for a final and absolute ruling.\n\n\n\nThe second case has been brought by CNGG against its own parent organisation,\nthe Ministry of Environmental Protection (MEP). Despite Regal not being a p...