- Savannah Energy’s Africa investment drive is experiencing some hitches as the Government of Chad halts the firm’s investment in the country.
- The company has begun arbitration in Paris, which may take up to two years.”The company has already started arbitration in Paris, which may take up to two years.
Savannah Energy’s Africa investment drive is experiencing some hitches as the Government of Chad halts the firm’s investment in the country. The company continues to aim for energy projects to progress in Africa, but the disappointment of its loss of Chadian assets has been made clear.
Savannah reported total revenues of $147.6 million for the first quarter, and its core Nigerian assets provided $71mn of this. However, the company said the Chad upstream assets provided $ 76.6 million. Whether Savannah will ever benefit from these assets is to be decided at international arbitration.
A decree from March 23 nationalised Savannah’s Chad Interests, while a law passed on March 31 confirmed this. The move covered both the upstream interests and Chad’s part of the export pipeline. Savannah said the move was “in direct breach” of conventions to which both sides were a party. The company has begun arbitration in Paris, which may take up to two years.”