The government has challenged before an English high court an arbitration award over a cost recovery dispute in the western offshore Panna-Mukta and Tapti oil and gas fields of Shell and Reliance Industries Ltd.
An arbitration “tribunal gave a favourable award on January 29, 2021”, Reliance said in its latest annual report.
Reliance and Shell had through the arbitration sought raising of the limit of cost that could be recovered from the sale of oil and gas before profits are shared with the government. The award came this year.
Both sides filed clarification applications before the tribunal.
“On April 9, 2021, the tribunal issued its decision on the clarification applications of both the parties. It granted the minor correction requested by the claimants (Reliance and Shell) and has rejected all of the Government of India’s clarification requests,” it said without giving details. Subsequent to that, the government of India (GoI) has