The Austrian OMV is trying to challenge the Russian court’s ban on international arbitration, according to which it obtained compensation of 230 million euros from Gazprom Export. The company has already filed a second appeal.
The Austrian OMV continues to challenge the decision of the Arbitration Court of St. Petersburg and the Leningrad Region, which in May prohibited OMV Gas Marketing and Trading GmbH from continuing the arbitration procedure in Stockholm, according to which the company received compensation of 230 million euros. in November. This was a German contract with deliveries due to end in 2022. OMV announced that it would withdraw funds from paying for current supplies under the Austrian contract. After which, on November 16, Gazprom stopped exporting to the Austrian company.
Previously, OMV tried to challenge the decision of the Russian arbitration court and filed an appeal to the Arbitration Court of the North-Western District, but in September the arbitrators rejected it for the same reasons. Gazprom insists that in the current international situation it cannot count on the impartial attitude of the arbitrators and the sanctions make it difficult for it to protect its rights.
OMV Gas Marketing and Trading GmbH was not satisfied with this and in November again filed an appeal to the Supreme Court of Russia. This information appears in the court file.
Deputy Director of the National Energy Security Fund (NESF) Alexey Grivach considers that OMV’s actions are part of a legal strategy to protect its interests once the situation returns to full legality.
Chief strategist of the investment company “Vector X” Maxim Judalov He says OMV is obviously hoping that, in the absence of a ban, Gazprom can accept the European court’s version.
“In reality, the job of lawyers is to litigate and challenge unfavorable decisions. They then act according to their business logic. At the same time, they are not worried about reputational risks, as the company apparently does not expect a quick resumption of normal relations with Russia.” – points out the expert.
Among other things, the Russian arbitration court not only prohibited OMV from continuing the arbitration procedure, but also imposed a fine in case of infringement of 575 million euros, which the Austrian company initially demanded under the German contract. This may be another reason why the Austrian company is actively challenging the Russian arbitration decision.
“Of course, because Gazprom can offset the claims and demand payment of the difference.” – says Maxim Khudalov.
As reported EADaily On November 16, Gazprom suspended gas supplies to the Austrian OMV, as the procedure for reaching agreements with hostile countries requires immediate payment of bills. At the same time, the company’s exports to Europe did not change, but to Austria itself they decreased by only 15-20%. As an ICIS analyst noted Tom Marzek-ManserIn the Austrian center of Baumgarten, Russian gas can be marketed by both the Hungarian MVM and the Slovak SPP and Azerbaijani Socar.
