avannah Energy Plc issues Chad Upstream Asset update (26.2500p, 0) Friday, March 24, 2023 07:11:41 AM (GMT)
Savannah Energy PLC notes the Decree issued by the President of the Republic of Chad dated 23-Mar-23, nationalising Savannah Chad Inc's upstream production assets in Chad. On 9-Dec-22 Savannah Energy Chad Limited completed the acquisition of EEPCI. The actions of the Republic of Chad are in direct breach of the Conventions to which SCI and the Republic of Chad are, amongst others, party.
This Presidential Decree has been issued by the Republic of Chad, notwithstanding the fact that under SCI's operatorship the historic production decline was immediately reversed, with daily production averaging 29,349 barrels per day since 9-Dec-22, an increase of c.9% as against the equivalent period prior to Savannah taking control of SCI. Savannah had also initiated plans to significantly increase production further through an active investment programme.
The Conventions are subject to the jurisdiction of an ICC tribunal, seated in Paris and the company intends to pursue all of its legal rights.
Savannah remains committed to delivering Projects that Matter in Africa and expects to provide further updates in due course.
