Savannah Energy seeks $397 million in Chad-Cameroon pipeline arbitration

Savannah Energy, through its subsidiary Savannah Midstream Investment Limited (SMIL), has initiated international arbitration seeking approximately $397 million (nearly 229 billion FCFA). The claim, filed with the International Chamber of Commerce, targets five entities: the Republic of Chad, SHT Overseas Petroleum (Cameroon), SHT Doba Pipeline Investment, Cameroon’s Société Nationale des Hydrocarbures (SNH), and the Cameroon Oil Transportation Company (COTCO).

The dispute stems from the restructuring of COTCO’s shareholding following Savannah’s acquisition of ExxonMobil’s stakes in late 2022. The Chadian government contested the acquisition, alleging it violated local authorization rules, and subsequently moved to nationalize ExxonMobil’s assets and acquire Petronas’s shares in COTCO via the SHT.

The financial claim includes roughly $330 million in principal costs, plus more than $67 million in interest and procedural fees. The legal battle centers on the management and ownership rights of the Chad-Cameroon pipeline, a critical infrastructure for oil transport.