A dispute between Nostra Terra subsidiary Sahara Resources Inc. and the operator of the East Ghazalat concession in Egypt has been referred to the London Court of International Arbitration, the UK-based oil and gas company said on Thursday, according to Law 360.
Sahara Resources Inc. owns a 50% non-operating interest in the concession, where it sees “significant scope” to boost output. Nostra Terra purchased Echo Energy’s 25% stake in the East Ghazalat concession for USD 500k in June 2017. The company is hoping to reach a settlement.
Oil exploration company Nostra Terra said Thursday that its ultimate subsidiary had its dispute with the operator of an oil and gas producing field in Egypt referred to arbitration, remarking that it hopes a settlement could improve production of the asset in which it has a partial interest.
The referral is over the operations of “the East Ghazalat Concession Egypt,” which is located about 150 miles southwest of Cairo. Nostra Terra’s ultimate subsidiary, Sahara Resources Inc., owns a 50 percent nonoperating interest in the concession.