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Spain court considers Repsol lawsuit against Chevron

by on November 19, 2012 6:58 pm GMT
 

Repsol had threatened legal action against companies that invest in YPF after Argentina seized control of the Spanish firm’s majority stake in the energy company in April, Reuters reported.

“Repsol will continue to take all legal action necessary to protect its interests” in YPF, a Repsol spokesman said on Monday, confirming a Reuters report that a Madrid court was studying a case brought by the Spanish company.

No one was immediately available to comment at Chevron to the news wire.

YPF announced a deal in September with Chevron to jointly explore for shale oil and natural gas in the South American country’s Vaca Muerta field.

Repsol also sued Argentina in May through a US court as part of an effort to recover more than $10 billion from the country in a case that could drag on for years.

The company’s chairman Antonio Brufau said in an interview on Sunday he hoped to reach an agreement with Argentina over compensation.

Repsol had said it would seek arbitration at the World Bank’s International Centre for Settlement of Investment Disputes.

Six months must pass before ICSID will consider arbitration in any dispute, to allow negotiations between the two parties.

Those six months have now expired and it is up to Repsol to request arbitration in a process that experts say could take more than a year.