Centre moves Supreme Court against Vedanta’s $99 million Ravva oilfield award
The Union government is challenging a Delhi High Court order allowing the enforcement of foreign arbitration awards stemming from a long-standing $99 million revenue-sharing dispute over the Krishna-Godavari basin oilfield.
The Union government has filed a petition with the Supreme Court to contest a Delhi High Court decision that permits Vedanta Ltd and Ravva Oil to enforce foreign arbitration awards related to the Ravva oilfield dispute. The dispute, which dates back to 1994, involves claims of $99 million and centers on how payments made by the companies towards ONGC's historical costs should be accounted for in calculating their respective shares of revenue from oil production.
The High Court ruled in favor of the companies, dismissing the Centre's objections, and directed that their bank guarantees be released within eight weeks. The case has been ongoing since 2014, with the government challenging the awards in Malaysian courts, but its challenges were ultimately rejected.
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