A Federal High Court in Port Harcourt has ordered the detention of crude oil cargo on the FPSO vessel Tamara Tokoni, owned by General Hydrocarbons Limited, a company linked to Nduka Obaigbena, chairman of THISDAY and ARISE Media Group.
The legal case involves a debt recovery dispute between General Hydrocarbons and First Bank, led by businessman Femi Otedola.
The court, presided over by Justice E.A. Obile, issued the ruling on January 9, directing the Nigerian Navy and other agencies, including the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and Nigerian Ports Authority (NPA), to ensure the detention of the vessel and its cargo.
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The order will remain in effect until General Hydrocarbons provides a guarantee of $19.7 million, along with interest and legal costs, from a first-class Nigerian bank.
First Bank alleged that General Hydrocarbons owes $225.8 million due to missed repayment deadlines on credit facilities extended to the company.
The financial institution also claimed that Obaigbena and his family members, who hold key positions in the company, used the loans to amass significant debt without fulfilling repayment obligations.
In a prior development, the Federal High Court in Lagos froze the accounts and assets of Obaigbena, his company, and family members involved in General Hydrocarbons. The bank justified this move as necessary to recover outstanding debts.
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General Hydrocarbons, through its legal representatives, has criticized the court orders as an abuse of the judicial process.
The company alleged that First Bank violated an earlier court ruling permitting it to access funding for oil and mining lease operations.
According to the company, the bank failed to disburse funds on time, disrupting oil exploration activities under their loan agreement.
The dispute has raised concerns about the management of financial agreements in the oil and gas sector.
The case has been adjourned to February 9, 2025, for further proceedings, leaving the fate of the detained crude oil cargo uncertain.
