Dommo (Former Ogx) appeals to the international court not to leave the company

The oil company had a request for exclusion made by the partners Enauta (former QGEP) and Barra Energia at the beginning of the year approved by CADE and appeals to the Paris court not to leave the Atlanta field

Dommo (formerly Ogx) filed an application with the Court of Appeals in Paris asking for the annulment of the arbitral award that removed it from the BS-4 block, where it has a 40% stake in the Atlanta field, in the Santos Basin.
The request had been made by the partners Enauta (former QGEP) and Barra Energia and had already been approved by CADE as reported by Click Petróleo e Gás on February 04th here on our website.

The request in Paris was made after the London Court complied and decided the compulsory departure of Dommo from the Atlanta Field.
Dommo's partners each hold a 30% stake in the asset, so Dommo, with its 40%, controls the field.

Dommo's allegation was that the judgment excluding it from the partnership was given by an arbitrator who had relations with the office providing services to the requesting parent companies.
The ANP and the Superior Court of Justice (STJ), which has not yet been notified, must approve what was requested by the English court.

If the Brazilian bodies approve the exclusion of Dommo from the business, the 40% belonging to it will be divided equally between Barra Energia and Enauta, which will each own 50% of the Atlanta Field.

The reason for the request

The dispute between the partners and Dommo has been going on since October 2017, when Barra Energia demanded the departure of Dommo, claiming default and lack of investments in the Field, which were solely the responsibility of it and Enauta.
Dommo then tried to sell 30% of its stake to Azibras, a subsidiary of the Seacrest group, but the negotiation did not go ahead.

Dommo claimed that the delays in the delivery and start-up of FPSO Petrojarl I were the reasons for its default and also accused, at the time, QGEP, of poor management.
QGEP, in turn, in 2017 stated that Dommo's debt was R$ 71 million with the consortium.

Did you know that the Lula field is the production leader in Brazil and that the FPSOs delivered in 2018 helped maintain this leadership? Go here and read the article!