A Federal High Court in Lagos, Wednesday, granted an injunction barring the Nigerian National Petroleum Corporation (NNPC), Ministry of Petroleum Resources and National Petroleum Investment and Management Respondent Services (NAPIMS) from allocating crude oil to Addax Oil, until the determination of suit before it.
Justice Tijjani Ringim, the trial judge, gave the order following a motion for mareva injunction filed and argued by the counsel to the applicants, Romeo Ese Michael.
The crude oil, according to a motion, is from those explored /produced from OMLS 123, 124, 126 and 137 as stipulated in the Production Sharing Contract (PSC) of 1998 between the Addax and NNPC.
The federal government, the Attorney-General of the Federation are the Plaintiffs, while Addax Petroleum Development of (Nigeria) Limited and Addax Petroleum Exploration (Nigeria) Limited, the NNPC, Ministry of Petroleum Resources and NAPIMS are the first to fifth respondents in the suit.
The judge equally dismissed respondents’ notice of preliminary objection filed through their lawyer, I.O Olateru-Olagbegi.
The judge held that the suit was properly instituted and should be allowed to be heard at trial.
The court agreed with the plaintiffs that it would serve the interest of justice for the ‘res’ to be preserved owing to insinuations that Addax Petroleum is taking steps to liquidate some of its subsidiaries in Nigeria.
Justice Ringim held: “It will serve the interest of justice if this application is granted because the applicants have established that there is fear of dissipating the ‘res’ before the hearing and determination of the substantive suit.
“I find that this application is meritorious and same ought to be granted. Accordingly, it is hereby granted as prayed.”
Other interim reliefs sought by the plaintiffs which were also granted by the court included a prayer to suspend “approval relating to budget expenditure and cost, howsoever described in regard to the interest of the 1st and 2nd Respondents in the aforementioned OMLS, pending when the 1st and 2nd Respondents furnish and file before this court verifiable Bank Guarantee from commercial banks in Nigeria to completely cover the monetary claims of the plaintiffs in this action.
“An interlocutory order restraining the 3rd, 4th and 5th Defendants/Respondents from allowing the 1st and 2nd Defendants/Respondents to transfer or assign their interest in the OMLS 123/124 and 126/137, pending when the 1st and 2nd Respondents furnish and file before this court verifiable Bank Guarantee from commercial banks in Nigeria to completely cover the monetary claims of the plaintiffs in this action.
“An interlocutory order of this Honourable Court restraining the 3rd, 4th and 5th Defendants/Respondents from dealing with the 1st and 2nd Defendants/Respondents with respect to OMLS 123/124 and 126/137 pending when the 1st and 2nd Respondents furnish and file before this court verifiable Bank Guarantee from commercial banks in Nigeria to completely cover the monetary claims of the Plaintiffs in this action.
“An interlocutory order of this Honourable Court compelling the 3rd, 4th and 5th Defendants/Respondents to file affidavit of fact within 7 days of service of this Application or any Order of this Honourable Court on them detailing the 1st and 2nd Defendants’ asset, property, monies or instrument and any other items with them pending the hearing and determination of this suit”.
The judge, however, ordered the federal government to swear to an affidavit that it would indemnify the respondents in the event that it misled the court to grant the injunction.
The case has been adjourned to March 21, 2022 for further hearing.
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