The Federal Government and the Nigerian National Petroleum Company Ltd (NNPCL) have secured a judgment over oil mining leases formerly operated by ADDAX as a Federal High Court in Abuja on Friday struck out a suit by Kaztec Engineering Ltd, for being incompetent.
The trial Judge, Justice N.E. Maha, gave the ruling while striking out the suit filed by Kaztec Engineering Ltd challenging NNPC’s statutory concession for OMLs 123, 124, 126, and 137.
Kaztec Ltd had filed the suit against the Federal Ministry of Petroleum Resources, the Nigerian National Petroleum Company Ltd, and others, seeking a declaration that the review of the award of OMLs 123, 124, 126, and 137 which had, as far back as 2002 awarded to NNPCL was wrong.
The court held in its judgment that the plaintiff’s suit lacked merit, primarily due to its failure to fulfill the essential requirement of paying the signature bonus.
“This bonus, being a condition precedent to the award of OMLs 123, 124, 126, and 137, rendered Kaztec’s suit frivolous in law”, the court held and added that the plaintiff failed to join necessary parties to the suit and that the suit by Kaztec Engineering Ltd constituted an abuse of court process.
“Kaztec’s suit is hereby unequivocally struck out for being incompetent”, Justice Maha held in the judgement.
Earlier, counsel to the NNPCL, Mr Kehinde Ogunwumiju (SAN) from Afe Babalola and Co., and other defendants had challenged the jurisdiction of the court to entertain the suit.
While objecting to the suit, the defendants maintained that the suit lacked a cause of action since Kaztec rumoured to be owned by Sir Emeka Offor did not pay the required signature bonuses for the OMLs.
Credit: The Nigeria Lawyer