UNION OF INDIA Vs. VEDANTA LIMITED

JUDGEMENT

(1.) This is an appeal filed under Sec. 37(2)(b) of the Arbitration & Conciliation Act, 1996 ("1996 Act") against the order dtd. 29/4/2024 ("Impugned Order") passed by the Arbitral Tribunal ("AT") in the Sec. 17 application filed by the appellant in the arbitration proceedings between the parties herein.

(2.) Vide the Impugned Order, the AT dismissed the appellant's application seeking restraint on the respondents from "unilaterally" implementing the Final Partial Award dtd. 22/8/2023 (as amended on 8/12/2023) ("FPA") until the liabilities are quantified as per the mechanism outlined in the FPA.

(3.) The disputes between the parties stem from the Production Sharing Contract dtd. 15/5/1995 ("PSC") executed between the appellant, the Shell India Production Development ("SIPD") and ONGC for exploration, discovery, development and production of petroleum resources in relation to an onshore oil and gas block in India known as Rajasthan Block RJ-ON-90/1 ("the RJ Block"). Originally, the PSC was for 25 years which ended in May 2020, however, it has been extended for an additional 10 years and is presently subsisting. The contract area includes three Development Areas: DA-1 (1859 sq. km.), DA-2 (430 sq. km.) and DA-3 (822 sq. km.).