27th July, 2023
By Taiye Agbaje
A Federal High Court in Abuja has set October 25 for ruling in an action filed by Mobil Producing Nigeria Unlimited against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in relation to its operations in Oil Mining Leases 67, 68, 70, and 104.
Justice Inyang Ekwo set the date after Mobil’s attorney, Ituah Imhanze, and NMDPRA’s lawyer, Ama Etuwewe, SAN, adopted their processes and presented their arguments for and against the suit.
On July 5, Justice Ekwo directed the NMDPRA not to take any further action in the oil mining lease suit filed until the hearing and adjudication of the substantive matter.
In an ex-parte motion filed on June 27, the oil giant asked for an order barring the Federal Government’s agency from imposing any sanctions on the firm.
Mobil also sought an order prohibiting the agency from taking any action to frustrate its interest in Oil Mining Leases 67, 68, 70, and 104 pending the hearing and conclusion of the application on notice for interlocutory injunction.
During the resumed hearing on Thursday, Imhanze informed the court that the originating summons, dated June 16, was filed on June 19, together with a supplemental affidavit in support of the originating summons and a reply on points of law.
In addition, on July 26, Imhanze filed a move on notice in response to the agency’s reasoning.
The lawyer, who had followed all of the procedures, asked the court to uphold their position and award them relief.
In his response, Etuwewe acknowledged receiving the motion on notice, but new points were presented in the application.
He stated that the defence filed a counter-affidavit and a written address in order to persuade the court to dismiss the entire case.
On July 26, he also responded to the plaintiff’s motion for notice.
After hearing their arguments, Justice Ekwo delayed the case until Oct. 25 for ruling.
FHC/ABJ/CS/844/2023, an application made on Mobil’s behalf by
The oil corporation requested five reliefs, according to Prof. Fabian Ajogwu, SAN.
These include a declaration that, under Section 8(d) of the Petroleum Industry Act (PIA) 2021, the authority to designate and approve its operations “as Integrated Upstream Petroleum Operations” belongs solely and exclusively to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), not the defendant (NMDPRA).
It sought a declaration that, under the PIA, NMDPRA lacked the authority to unilaterally review, revoke, rescind, nullify, or order the company to disregard the NUPRC’s approval, which designates all of its operations in Oil Mining Leases 67, 68, 70, and 104 as Integrated Upstream Petroleum Operations (IUPO).
As a result, Mobil requested a perpetual injunction restraining NMDPRA.
However, in a counter-affidavit deposed to by Eze Nwachukwu, Deputy Manager in the Legal Department of NMDPRA, the official stated that the NUPRC clearance issued to Mobil was erroneous since the commission lacked the authority to allow integrated operations for the business unilaterally.
Nwachukwu said that the PIA did not provide NUPRC authority over integrated upstream and midstream operations.
NAN