“Georgian oil and gas Corporation has denied accusations of restricting the activities of Frontera Resources

Joint – stock company “Georgian oil and gas Corporation” (GOGC), a 100% owned by the state JSC “Partnership Fund”, unfounded accusations of restriction of the activities of the us company Frontera Resources, as discussed in bipartisan resolutions of the U.S. Congress Republican Ted and Democrat Jim green.

“The relationship between Frontera and the Georgian side adjusts the agreement on share distribution of products, designed in 1997,” – said in a statement GOGC released on Friday in connection with the resolution published yesterday by the us congressmen.

The statement said that the Georgian side is in full compliance with the terms of this agreement, and also requires Frontera to fulfil its part of obligations.

“Common information about the limitation of the state interests of the company Frontera is absolutely wrong and untrue,” says GOGC.

It is noted that “the above mentioned agreement requires parties compliance with the terms of the privacy policy, so we (GOGC – if) deprived of the opportunity to disclose further details”.

The resolution of the American Congress States that “in recent years American companies have expressed great concern about the business environment of Georgia, pointing to the existence of bureaucratic delays and affirming the continuing corruption in certain areas of the Georgian government”.

In particular, it is noted that failure to comply with obligations to American companies in Georgia could undermine relations between the US and Georgia over the development which he worked both sides. Expressed hope that “Georgia will consider necessary to respect the rule of law in relation to resources, Frontera Resources, and that relations between the US and Georgia will remain strong and will be mutually beneficial for both countries”.

American oil and gas company Frontera Resources conducts search and production of oil and gas in the license block XII, an area of 5.55 square km in the region of Kakheti (Eastern Georgia). Total initial oil resources of the bloc, which includes field Mirzaani, Taribana, Nazerlebi, Patara Shiraki, canoe and Mcare heavy, are estimated to amount to 600 million tons.

Earlier it was reported that Frontera has repeatedly announced the discovery on this block of huge reserves of natural gas: in the first volume of 43 billion cubic meters. m, then about 1 trillion cubic meters, in 2015 – about 3.8 trillion cubic meters, and in early 2016 – about 5 trillion cubic meters of gas, however, was not presented to the Georgian side documentary evidence of this, although to do this it require a license agreement and governing rules.

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