American Energy Group, Ltd. Wins Interim Hearing - Arbitration Tribunal of ICC Grants All Requests
WESTPORT, Conn.--(BUSINESS WIRE)-- The American Energy Group, Ltd. (AEGG) announced today that an Arbitration Tribunal formed under Rules of the International Chamber of Commerce ("ICC") International Court of Arbitration has upon Application For Interim Relief filed by the Company with the Arbitration Tribunal in February, 2013 and a hearing conducted June 13, 2013, granted an Interim Order in favor of the Company and against Hycarbex American Energy, Inc. ("Hycarbex"), Hycarbex Asia Pte, Ltd. ("Hycarbex Asia") and Hydro Tur, Ltd. ("Hydro Tur"). By Order dated September 25, 2013, the Arbitration Tribunal ordered Hycarbex, Hycarbex Asia and Hydro Tur to do the following within fourteen (14) days of the Order: (1) to produce to the Company the records of production and sales from the Yasin petroleum concession in Pakistan for the period August 2011 through the date of the Order and to continue to do so pending further order, (2) to pay to the Company 18% of all sales proceeds of hydrocarbons received by such parties between August 2011 through December 2012, (3) to pay to the Company 18% of all sale proceeds of hydrocarbons received by such parties between December 2012 and the date of the Order, and (4) to direct the purchaser of the hydrocarbons to pay direct to the Company 18% of all future sale proceeds during the pendency of the arbitration proceedings. The Arbitration Tribunal further ordered that in the event that Hycarbex, Hycarbex Asia and Hydro Tur fail to produce to the Company the production and sales records for the period August 2011 through December 2012 within the fourteen (14) days following the Order, that such parties are ordered to pay to the Company $1,436,137.81 as an approximate interim amount pending the determination of actual sale proceeds from the actual records. The Arbitration Tribunal further ordered that in the event that Hycarbex, Hycarbex Asia and Hydro Tur fail to produce to the Company the production and sales records for the period December 2012 through the date of the Order and continue to do so, that the arbitration tribunal will consider an application from the Company for a further Order as to an approximate interim monetary amount pending the determination of actual sale proceeds for such period. The Order of the Arbitration Tribunal is not appealable to a court or other tribunal pursuant to the terms of the arbitration agreement and the Rules of Arbitration of the ICC.
Commenting upon the Order of the Arbitration Tribunal, Pierce Onthank, President and CEO of The American Energy Group, Ltd. stated: "We are elated with the ICC Tribunal's interim order that American Energy be paid in full for 18% of the production from the Yasin petroleum concession since August, 2011.The order is a monumental step toward the Company's efforts since 2011 to enforce its legal rights.We look forward to the final resolution of all remaining matters in this dispute in the arbitration hearing scheduled early in 2014."
The Company filed its original claim with the ICC in April, 2012, seeking an order which would void the original 2003 Stock Purchase Agreement under which Hycarbex's parent company acquired the stock of Hycarbex from American Energy Group, Ltd. Hycarbex owns the majority working interest in and operates the Yasin petroleum concession. If the Arbitration Tribunal grants the request in its final arbitration award, the Company will regain 100% ownership of the Hycarbex stock. The final arbitration hearing at which the Company's request will be determined is scheduled for February, 2014. During the pendency of these arbitration proceedings, the injunctions issued by the High Court of Islamabad Pakistan in December, 2011, to preserve the status quo remain in effect. Under the terms of these Islamabad High Court injunctions, Hycarbex is prohibited from transferring any interest in the Yasin petroleum concession.
This news release contains forward-looking statements, including estimated time lines for future events. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events, or performance and underlying assumptions and other statements, including potential production rates and potential reserves, which estimates are unproven and not based upon actual production data or historical facts. Forward-looking statements are subject to uncertainties and risks including, but not limited to, economic conditions, drilling risks and actual operating conditions and results, deviation in costs of critical equipment and services, deviation in production decline rates, the impact of competition and commodity pricing, and domestic and foreign governmental regulation and approvals.
All forward-looking statements in this disclosure, whether made by, or on behalf of the Company or by or on behalf of the project operator, are expressly qualified by the above cautionary statements and any other cautionary statements which accompany the forward-looking statements. In addition, the Company disclaims any obligation to update forward-looking statements to reflect events or circumstances after the date hereof.
For further information contact Pierce Onthank, President and CEO at (203) 222-7315 or firstname.lastname@example.org. The Company's website is aegg.net.
American Energy Group, Ltd.
Pierce Onthank, 203-222-7315
President and CEO
KEYWORDS: United States North America Connecticut Washington
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