INA received the notification on the decision on 26 September regarding the appointment of arbitration panel president in the arbitration procedure initiated by the Italian company Edison, which represents the finalisation of the procedure of arbitration panel appointment and formation.
"The seat of the arbitration procedure shall be in Vienna, in accordance with the arbitration clause, and the procedure shall be conducted in line with UNCITRAL rules," reads a statement issued by INA.
Edison International bases its arbitration notice "on the allegations that INA, d.d. did not fully comply with its contracting obligations as per the Agreement and it in the same notice claims damage compensation from INA, d.d. in the amount of cca EUR 140 million, as well as compensation for lost profit."
"INA, d.d. delivered a response to the arbitration notice in which it fully contests the allegations of EDISON INTERNATIONAL S.p.A., and it also submitted a counterclaim against the company EDISON INTERNATIONAL S.p.A," reads the statement.
The Croatian and the Italian companies entered into the Production Sharing Agreement (PSA) in the Contract Area of the Republic of Croatia Offshore Adriatic Sea Izabela and Iris/Iva blocks in 2002.
The agreement regulates the production and exploration in Izabela and Iris/Iva gas holdings blocks in the northern Adriatic.