The Board reports further on the unsuccessful legal claim brought by Leni Gas & Oil Plc (LGO) against Mediterranean Oil & Gas' (MOG) subsidiary Malta Oil Pty Limited.
On 27 March 2014 the Commercial Court handed down judgment dismissing LGO's case. On 3 April 2014 the Commercial Court ordered LGO to pay MOG's legal costs on an indemnity basis, with the sum to be assessed by the court if not agreed. On 10 April 2014 LGO paid £600,000 on account of costs by an order of the court.
MOG and LGO have reached an agreement as to the total legal cost (the "Legal Cost") for which LGO is liable. The agreed Legal Cost is £1.2 million.
The Board is pleased to report that LGO yesterday paid £616,437.50, which is the Legal Cost less the amount paid on account, plus interest of £16,437.50 (at an interest rate of 8% per annum). This means that the issue of legal costs is now finally resolved and there remain no further issues or steps to be taken in the legal proceedings.