Gazprom and Overgas reach final settlement in London courts
Published by Elizabeth Corner,
Overgas Group, a Bulgarian gas distributor, has recently reached a final settlement in all disputes with Russian energy giant Gazprom.
The complex series of disputes centred around Gazprom’s decision to stop supplying natural gas to Overgas in January 2016. Gazprom claimed that Overgas owed approximately US$105 million under this arrangement. Overgas claimed that Gazprom acted in breach of EU and Bulgarian competition law and in breach of the supply contract by agreeing to sell gas only to state-owned Bulgargaz, launching an International Chamber of Commerce arbitration.
Gazprom further alleged that the Overgas Group Defendants were involved in a complex conspiracy to dilute Gazprom’s shareholding in a joint venture company. Overgas Group argued that the change in structure had been precipitated by Gazprom ceasing gas supplies to Overgas Group in breach of supply agreements and EU competition law.
Zaiwalla & Co, a specialist international arbitration and litigation law firm, acted for the Overgas Group Defendants from March 2020, after taking over the case from Squire Patton Boggs. Since then, Zaiwalla & Co has advised Overgas Group throughout the negotiations, leading to a settlement of the claim and counterclaims on 28 January 2021.
Rohit Ralleigh, a Senior Solicitor at Zaiwalla & Co, commented: “We are pleased to have acted and advised Overgas Group on this settlement, which brings to an end a long running dispute with Gazprom. Overgas will now be able to move forward and continue to deliver services for Bulgarian consumers.”
Read the article online at: https://www.worldpipelines.com/business-news/03022021/gazprom-and-overgas-reach-final-settlement-in-london-courts/
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