Process & Industrial Developments (P&ID) Limited and the Federal Government of Nigeria will today know the outcome of their long-drawn business dispute, as the Business and Property Court in London delivers its judgment in the case.
However, Nigeria applied for an extension of time and relief from sanctions, which was granted by Ross Cranston, a judge of the Business and Property Courts of England and TheWales, in September 2020, thereby returning the case to arbitration.
Nigeria had claimed that the gas deal was a scam orchestrated to defraud the country.
Lawyers representing the federal government told the court that P&ID officials paid bribes to secure the contract, an allegation the company denied, describing it as “false allegations and wild conspiracy theories”.
Nigeria contended that the said contract was secured through dishonest means, including bribery and perjury, and also pleaded that the arbitration award, which now stands at $11 billion should be quashed.
P&ID had reportedly agreed with Nigeria in 2010 to build a gas processing plant in Calabar, Cross River State, a deal that could not sail through due, according to the country, to the failure of Nigeria to fulfil its part of the agreement.
Consequently, the company sued Nigeria for breaching the terms of the contract and was able to secure an arbitral award against the country.
A tribunal on January 31, 2017, ordered Nigeria to pay P&ID $6.6 billion as damages. It also awarded the company seven per cent pre-and post-judgment interest.
However, Nigeria applied for an extension of time and relief from sanctions, which was granted by Ross Cranston, a judge of the Business and Property Courts of England and TheWales, in September 2020, thereby returning the case to arbitration.
Nigeria had claimed that the gas deal was a scam orchestrated to defraud the country.
Lawyers representing the federal government told the court that P&ID officials paid bribes to secure the contract, an allegation the company denied, describing it as “false allegations and wild conspiracy theories”.
Nigeria contended that the said contract was secured through dishonest means, including bribery and perjury, and also pleaded that the arbitration award, which now stands at $11 billion should be quashed.
