Grapevine

MRS Oil faces N7.3bn lawsuits in six months

The oil marketing firm noted that the estimated liability associated with those litigations stood at N453.6m, as it instituted legal actions amounting to N388.7m.

The firm remained confident that the outcomes of those lawsuits would not result in significant financial impacts.

“Certain lawsuits are pending against the company in various courts of law. The total contingent liabilities in respect of pending litigations as of 30 June 2024 are N7.3bn. Per the assessment of the company’s legal team, the estimated liability is about N453.6m (Dec 2023: N453.6m).

“The actions are being contested, and the directors think that no significant liability will arise from these legal cases. Also, the sum of N388.7m in 2023 represents the value of law cases instituted by the company at the end of the reporting period,” the statement partly read.

For the period under review, the company reported a net foreign exchange loss of N703m for the first half of 2024, marking a 71 per cent decrease year-on-year from the N2.43bn FX loss recorded in the same period last year.