Oslo, 3 October 2018
Interoil Colombia E&P (Interoil Colombia) is pleased to announce that the Arbitration Tribunal acting in the controversy between Interoil Colombia and the National Hydrocarbons Agency of Colombia -Agencia Nacional de Hidrocarburos- (ANH) has granted its approval to the conciliation agreement entered into by the parties (the "Conciliation Agreement") to settle all the claims and disputes concerning the Exploration and Production Contract No. 68, Block COR-6, dated May 3, 2011 (the "COR-6 Contract").
The Conciliation Agreement terminates the dispute concerning the COR-6 Contract and its termination by resolutions of the ANH alleging a default of Interoil Colombia, a controversy that lead Interoil Colombia to file on July 21, 2017, an arbitration complaint before the Centre of Conciliation and Arbitration of the Bogota Chamber of Commerce -Centro de Conciliación y Arbitraje de la Cámara de Comercio de Bogotá- with the view of resolving the dispute. The agreement includes a termination of the COR-6 Contract by mutual agreement and a mutual waiver and definitive release of the parties to make any claim with regard to the COR-6 Contract.
By means of the resolution of the Arbitration Tribunal dated October 2, 2018, the tribunal has approved the Conciliation Agreement giving full effects to its provisions and terminating the dispute subject to arbitration. Prior to the approval by the Tribunal, the Office of the Attorney General of Colombia (Procuraduría General de la Nación) and the National Agency for the Legal Defense of the State (Agencia Nacional de Defensa Jurídica del Estado) had granted opinions in favor of the approval of the Conciliation Agreement.
As a result of the Conciliation Agreement Interoil is released from any liability, penalty or responsibility (including monetary responsibility) relating to the COR-6 Contract.
Interoil acknowledges the positive and constructive approach taken by the parties during the process and negotiations aimed at resolving amicably and by consensus the controversy and is pleased to have reached a satisfactory resolution of the dispute.
Interoil Exploration and Production ASA is a Norwegian based exploration and production company - listed on the Oslo Stock Exchange - with focus on Latin-America. The Company is the operator of several production and exploration assets in Colombia. Interoil currently employs approximately 70 people and is headquartered in Oslo.