Delhi High Court Overturns Verdict Favoring Reliance Industries In Gas Dispute
Delhi High Court Overturns Verdict Favoring Reliance Industries In Gas Dispute
The Central government had appealed against the decision
The division bench of the Delhi High Court has reversed the judgment of the single-judge bench, which dismissed the appeal of the Government of India to challenge the award favoring Reliance Industries Limited.
Earlier, an international arbitration panel had rejected the Indian government’s claims on gas migration. It awarded $1.55 billion to the KG-D6 Consortium on an alleged gas migration from the Oil and Natural Gas Corporation’s (ONGC's) blocks.
The Central government had appealed before the division bench of the high court.
The international arbitration panel issued an award in favor of Reliance, BP & Niko (Consortium). With a 2 to 1 majority, it disallowed the claims of the Indian government against the Consortium on the migrated gas.
Moreover, all contentions of the Consortium were upheld by the majority stating that it was entitled to produce gas from its contract area. It turned down all claims by the Indian government.
