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January 4, 2013 2:33 pm
Someone had better tell Leni Gas & Oil that New Year is a time for letting bygones be bygones.
The Aim-quoted explorer made good on previous threats of legal action against former partner Mediterranean Oil & Gas on Thursday by launching proceedings in the High Court following a dispute over the sale of a 10 per cent stake in a block off Malta for a single dollar.
David Lenigas, chairman of Leni, claimed that Leni was misled at the time of the sale as its partner then went on to sell three-quarters of its enlarged interest in the Maltese licence to Genel Energy less than three weeks after the August sale for an initial $10m.
That deal also sees Genel pick up a substantial amount of MOG’s liabilities as a minority partner for further exploration work.
MOG repeated on Thursday that it continues to reject the various claims which have been made by Leni.
The launch of proceedings had little impact on MOG’s share price that ended the week only slightly down at 10.03p, valuing the company at £42m. Shares in Leni ticked up slightly to 1.19p, valuing its equity at £22m.
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