Ascent Resources Plc, the onshore Hispanic American and European focussed energy and natural resources company is pleased to announce a material upgrade to its estimate of the proceeds it is entitled to, which have already been received by its JV partner Geoenergo, following the recent positive arbitration interim award.
On 25 October 2023, the Company announced receipt of a positive Arbitration Tribunal binding interim decision, confirming Ascent Slovenia Limited (ASL)'s entitlement to proceeds above the baseline production profile from all wells in the concession area (except for PG-1 which is entirely included as part of the baseline production).
Following a data disclosure instruction from the arbitration tribunal, the Company has now received the historic production data which has enabled it to calculate the proceeds it is entitled to from October 2019 (being the three-year statutory limit for claims) to February 2023, being the most recent date included in the arbitration process. Based on this data, the Company is upgrading its forecasted revenue award to approximately €8 million (the previous guidance was in excess of €3.5 million).
This calculation remains subject to the final decision of the arbitration panel and until such time there can be no certainty of the amounts claimed being awarded or the counterparty having the immediate funds to make payment. It is expected that the final arbitration decision will include a court enforceable order for payment on the amounts determined to be owed to ASL, this is expected towards the end of Q1 2024. Further updates will be announced in due course.
