Gulf Keystone avoids appeal in litigation battle
Dec 9, 2013 at 8:26 am in AIM by contrarianuk
GKP RNS this morning:
On 10 September 2013 the English Commercial Court (the “Court”) provided a summary of its decision to dismiss all of the claims asserted by Excalibur Ventures LLC (“Excalibur”) against the Company, its two subsidiaries and Texas Keystone Inc. (together the “Defendants”) and decided all issues in favour of the Defendants.
Further to its announcement of 11 November 2013, the Company today is pleased to announce that Excalibur has confirmed that it does not propose to appeal the judgment of the Court (the “Judgment”) either during the hearing at the Court on 13 December 2013 or otherwise.
Gulf Keystone is also pleased to announce that Excalibur has agreed to an interim payment on account of the Defendants’ costs in the full sum of £17,500,000, which had been paid by Excalibur into the Court as security for the Defendants’ costs of these legal proceedings.
On 13 December the Defendants will apply at the consequentials hearing for various orders as to the full costs of the litigation and other related matters.
As previously announced, on 13 December the full Judgment will be handed down. The Judgment is expected to be made public at http://www.judiciary.gov.uk/media/judgments/2013/index
Some good news for shareholders in Gulf Keystone Petroleum (GKP), the Kurdistan focused oil explorer. The shares rose sharply this morning at the open on news that the litigation with Rex Wempen’s Excalibur Ventures has to come to an end with a decision not to proceed with an appeal and the court deciding to reimburse GKP’s costs.
Now GKP’s key asset Shaikan looks an even more appealing prospect for a major now that Excalibur’s assertion that it had a right to Gulf Keystone’s assets has been kicked into touch.