Hyperdynamics Settles Litigation with AGR Regarding Sabu #1 Well
Hyperdynamics Corporation announced the settlement of litigation in London involving AGR Well Management Ltd (“AGR”).
AGR provided project management services for Hyperdynamics’ subsidiary, SCS Corporation Ltd. (“SCS”), in connection with the drilling of the Sabu #1 well offshore Guinea in 2011-2012.
SCS will receive U.S. $17.7 million from the escrow account previously established by the parties. The claims by SCS and the counterclaims of AGR will be released, and the litigation will be terminated.
The net proceeds to SCS will be approximately $15.6 million, after reconciliation of the joint interest account with Dana Petroleum, the other working interest holder during the drilling.
Ray Leonard, CEO and President of Hyperdynamics, commented, “We are pleased to settle this litigation and to have this matter resolved and behind us.”
Press Release, May 19, 2014
