$3.3bn Egina FPSO: Court Orders Samsung To Dismantle Barricades On Ladol Facility

 

The bitter contractual dispute emanating from handling the local content part of construction and deployment of Floating Production Storage Offloading (FPSO) for Egina deep water oil field, is yet to be settled as Justice Abdulfattah Molawale Lawal of a Lagos High Court, has yesterday, ordered Samsung Heavy Industries, South Korea to remove the barricade and the electric fence it erected around the facility of Lagos Deep Offshore Logistics, LADOL.

Following the contractual dispute with LADOL, Samsung had on November 27, 2018, allegedly blocked three entrance gates to the LADOL fabrication and integration yard with blocks and crane.

Both parties are currently before the court over a partnership disagreement in a contract for the procurement, construction and commissioning of a $3.3 billion Floating Production Storage Offloading, FPSO, for the Egina deep water oil field, operated by Total.

In the suit, Justice Lawal had earlier refused to grant Samsung an interim injunction to challenge the termination of the lease agreement it had with LADOL.

Ruling on an application by LADOL over the continued blockade on its facility, Justice Lawal ordered Samsung to remove the barricade within seven days.

The judge said: “Claimants are to remove the barricade and electric fence within seven days from the day of the order (3 Dec 18).

“Defendants are to continue supplying electricity and water to the claimants pending the delivery of the judgment on 25 January 2019. Defendants are restrained from evicting the claimants pending the delivery of the judgment on 25 January 2019.”