Winning the case against Niko Resources in an international tribunal was the outcome of professional efficacy and integrated approach, State Minister for Power, Energy and Mineral Resources Nasrul Hamid said.
"Institutional corruption is impossible if political commitment towards good governance prevails," he said while speaking as the chief guest at a webinar.
The DUCSU Law and Politics Review organised the webinar on 'NIKO Arbitration 2020: Political & Judicial Antecedents and Aftermath' Saturday night.
Mr Hamid said the government's coordinated efforts helped prove the case in the International Centre for Settlement of Investment Disputes, or ICSID, that Niko was liable for the two consecutive blowouts at Tengratila in northeastern Chhatak gas field in 2005.
The verdict was delivered on February 28 this year.
Bangladesh had submitted a claim for a total loss of US$ 1.014 billion to the ICSID, of which $896 million as the loss of the government and $118 million as the loss of state-run Bangladesh Petroleum Exploration and Production Company Ltd, or Bapex, he added.
Apart from the direct losses from the gas field blowouts, Bangladesh in the final claim will add losses of environmental and human health, as per the ICSID instruction, which will add up the overall compensation claims.
At the final stage of the case, the ICSID will ascertain the amount of the losses after scrutiny.
Niko had initiated Bangladesh operations in the Feni gas field under an unsolicited joint venture, or JV, agreement with Bapex in 2003.
The Canadian firm was awarded the job, bypassing the tender. In the JV, Niko had 80 per cent stake while Bapex had 20 per cent stake.
Separately, Niko had 60 per cent stake in currently producing Bangora gas field under block 9, Singapore's KrisEnergy has 30 per cent share and Bapex holds the remaining 10 per cent.
Local lawyer Barrister Moin Ghani, leaders of Dhaka University Central Students' Union Md Azhar Uddin and Shahrima Tanzin Orni and professor of law department of Dhaka University Dr Rumana Islam also took part in the event.
Azizjst@yahoo.com
