The High Court of Kenya imposed a temporary injunction against a Taipan subsidiary Tuesday, halting work at the company’s Badada-1 well in northeast Kenya until a lawsuit with a local ethnic group is settled.
Lion Petroleum, Taipan’s wholly owned subsidiary, must immediately stop work on the well located in onshore Block 2B.
The injunction was ordered after the Ajuran community from Wajir County filed a lawsuit alleging Lion has barred the group from grazing livestock in Block 2B, Kenya news source Standard Digital said.
The company did not disclose details about the injunction or potential hearing dates.
Kenya-based Taipan said it is “confident” the injunction will be lifted in time to meet the well’s projected spud date of early January 2015.
Adjoined to Lion in the lawsuit as co-respondents are the Kenyan Cabinet Secretary, Ministry of Petroleum, the Attorney General of Kenya, the Chairperson of the National Land Corporation and UK-based Premier Oil.
Block 2B is located in the Anza Basin and covers 1.35 million acres.
Lion Petroleum holds a 30 percent operating share.
Premier Oil Investments holds a 55 percent share and UK-based Tower Resources holds a 15 percent share.