The tug-of-war between the Nigerian National Petroleum Corporation (NNPC) and two oil and gas majors, Chevron and Equinor over the latter’s lawsuit is being waged by two teams of lawyers highly regarded within the oil sector. The majors have asked a US court to force NNPC to pay out $1 billion in overpayments on OML 128 where the prolific Agbami field which produces 240,000 bpd is located.
NNPC sources told Huhuonline.com that Chevron and Equinor have sought help from two high profile Nigerian lawyers – Olasupo “Supo” Shashore (SAN), former Lagos State attorney general & commissioner for justice (2007 – 2011) and Babatunde “Tunde” Fagbohunlu (SAN), senior partner in Aluko & Oyebode law firm to have a federal high court in New York recognize the partiality and bias of Nigeria’s tribunals to render justice in the case.
The oil and gas duo who are being represented by Freshfields Bruckhaus Deringer, submitted detailed witness reports from the two Nigerian lawyers to the New York federal court at the end of January; in which Olasupo and Fagbohunlu argued that the cancellation of the arbitration ruling made in favor of Equinor and Chevron by a federal high court in Lagos was tele-guided and undergrounded, hence the case should be settled in a US court.
In the considered opinion of the two Nigerian lawyers, it is highly unlikely that a Nigerian court would issue a ruling against the NNPC given the pervasive politics around oil revenue as an integral part of the nation’s economy. The two senior advocates also pointed out that, even in the unlikely possibility of a Nigerian court ruling against the NNPC, there’s little doubt that the NNPC will bog enforcement of any such ruling in the cumbersome court process especially as seizure of NNPC assets can only be done with the government’s consent.
But in a scathing retort to Chevron/Equinor over court bias, the NNPC source rebuked the two Nigerian senior advocates whose assertions casts doubt on the ability of Nigerian courts to be impartial, saying their actions in denigrating the Nigerian judiciary amounted to treason. “Can you imagine two lawyers telling a foreign court in a foreign jurisdiction that the judiciary system in their own country is not credible and independent? If this is not treason, one wonders what else is; and I think these lawyers should be dismembered by the NBA [Nigerian Bar Association]; they are a disgrace to Nigeria,” the NNPC source fumed.
The Aluko & Oyebode website describes Tunde “as a “fantastic litigator” who is noted for his craftsmanship in constructing legal arguments. He represents clients in litigation and arbitration proceedings in disputes arising in various industries, and renders legal advice on a wide range of commercial transactions,” while Supo is a partner in the Africa Law Practice (ALP) law firm and a Fellow of the Chartered Institute of Arbitrators
The NNPC has hired its own legal defence led by Fidelis Oditah to counter Chevron and Equinor’s attempt to convince a US court that Nigeria’s courts and judges are not impartial. Oditah is the chairman of the Nigerian arm of the powerful International Law Association. He supports NNPC’s position that the case should not be heard by an American court. Chevron and Equinor argue that Nigeria’s courts lack impartiality and the dispute needs to be settled outside of the country.
In a document sent to the court of the Southern District of New York on February 18, Oditah slammed Matthew T. Page, one of the oil firms’ advisors, for his “patronizing” views of the Nigerian court system. Page, a former deputy officer to the US National Intelligence Council, claimed that “in Nigeria, judicial appointments are viewed as a way to ensure support for political elites.” Oditah fired back citing several instances when the Nigerian Supreme Court had cancelled an electoral victory for candidates of President Muhammadu Buhari’s ruling All Progressive Congress (APC) party. He quoted the case of APC candidate David Lyon, who was recently elected governor of oil-rich Bayelsa state in November 2019, only to have his election cancelled after it emerged that his running mate and deputy governor-elect, had provided fake academic diplomas.
Oditah has been joined in the NNPC defence against Chevron and Equinor by Osaro Eghobamien, co-founder of the Nigerian law firm specialized in commercial law Perchstone & Graeys. The NNPC source confided to Huhuonline.com that the activities of the two Nigerian lawyers have been reported to the Minister of Justice and Attorney General of the Federation, Abubakar Malami (SAN), who is handling a similar case involving a $6.9 billion judgment debt claimed by P&ID over another oil and gas deal.
