Legal Claim Filed for Moftinu Gas Plant Delays

RNS Number : 0589R

Serinus Energy PLC

25 February 2019

 

SERINUS ENERGY PLC

Legal Claim Filed for Moftinu Gas Plant Delays

Jersey, Channel Islands, February 25, 2019 -- Serinus Energy plc ("Serinus", "SEN" or the "Company") (AIM:SENX, WSE:SEN), announces that its wholly-owned subsidiary, Serinus Energy Canada Inc., has filed a suit against Aval Engineering Inc. of Alberta and Kocken Energy Systems Incorporated of Nova Scotia and certain of their directors and officers.  The suit claims more than US$25.4 million in damages for chronic mismanagement as well as misappropriation of funding provided by Serinus which resulted in repeated failures to deliver the completed and tested Low Temperature Separation ("LTS") and Triethylene Glycol ("TEG") units needed to complete the Company's gas conditioning plant on the Moftinu site in Romania.

The LTS and TEG units were originally contracted to be delivered in January 2018. As previously announced, the units were shipped from Canada to Romania on 16 January 2019. They arrived in Romania on 28 January 2019 and were then taken to the fabrication yard of the project EPC Contractor, Confind SRL, for inspection and testing prior to shipment to site. During inspection, it was discovered that the units were not properly fabricated, including various parts being missing. The Company and the EPC Contractor have been working diligently to rectify this and complete final assembly at the Confind fabrication yard.

About Serinus

Serinus is an international upstream oil and gas exploration and production company that owns and operates projects in Tunisia and Romania.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").

For further information, please refer to the Serinus website (www.serinusenergy.com) or contact the following:

Serinus Energy plc                                                     [phone]

Jeffrey Auld, Chief Executive Officer

Calvin Brackman, Vice President, External Relations & Strategy

Numis Securities Limited                                           [phone]

(Nominated Adviser and Joint Broker)

John Prior

Paul Gillam

Ben Stoop

GMP FirstEnergy                                                        [phone]

(Joint Broker)

Hugh Sanderson

Jonathan Wright

Camarco                                                                    [phone]
(Financial PR - London)
Billy Clegg
Owen Roberts

TBT i Wspólnicy                                                         [phone] 

(Financial PR - Warsaw)

Piotr Talarek

Translation: This news release has been translated into Polish from the English original.

Forward-looking Statements This release may contain forward-looking statements made as of the date of this announcement with respect to future activities that either are not or may not be historical facts. Although the Company believes that its expectations reflected in the forward-looking statements are reasonable as of the date hereof, any potential results suggested by such statements involve risk and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements.  Various factors that could impair or prevent the Company from completing the expected activities on its projects include that the Company's projects experience technical and mechanical problems, there are changes in product prices, failure to obtain regulatory approvals, the state of the national or international monetary, oil and gas, financial , political and economic markets in the jurisdictions where the Company operates and other risks not anticipated by the Company or disclosed in the Company's published material. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties and actual results may vary materially from those expressed in the forward-looking statement. The Company undertakes no obligation to revise or update any forward-looking statements in this announcement to reflect events or circumstances after the date of this announcement, unless required by law.

 

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