[2024]DLSC17893November 11, 2024Supreme Court

HEILAND RESOURCES LIMITED vs. SINOPEC INTERNATIONAL PETROLEUM LTD

The dispute arose out of a major gas infrastructure project in Ghana. Ghana National Gas Company Ltd contracted Sinopec International Petroleum Ltd to execute aspects of the Ghana Early Phase Gas Infrastructure Project / Western Corridor Gas Infrastructure Development Project. Sinopec in turn engaged Heiland Resources Limited as subcontractor under two written agreements: an Equipment Rental Agreement dated 21 May 2013 and an Agreement for Lateral Line Civil Works dated 22 November 2014 (“Lateral Line Contract”). The Lateral Line Contract contained an arbitration clause in clause 16.2. According to Heiland, during execution of the project, further works outside the original scope were introduced through the involvement of supervisory officials and through email and oral arrangements, including altered pipeline routes, concrete pipeline bridges, river crossings, clearing, grading, trenching, padding, compaction and geodetic works. Heiland contended these were separate or additional contracts for which separate payment was due but remained unpaid. The majority identified these facts principally from section 3 of the judgment, especially paras. 3, 3.1 and 3.2, and from the reliefs endorsed on the statement of claim discussed in section 8 and the fraud particulars referred to in section 11.

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JUDGMENT ASIEDU JSC: [1]. INTRODUCTION: My lords, this is an appeal from a judgment of the Court of Appeal delivered on the 28th July, 2022. In the said judgment, the Court of Appeal set aside a ruling delivered by the High Court in favour of the 3rd Defendant/Applicant/Respondent/Appellant (hereinafter referred to as the Appellant). The ruling of the High Court was delivered on the 6th July, 2021. The Plaintiff/Respondent/Appellant/Respondent shall hereinafter be referred to as the Respondent. [2]. NOTICE OF APPEAL: By a notice of appeal filed on 9th August, 2022, the Appellant raised the following grounds of appeal: a. That the judgment is against the weight of evidence. b. Additional grounds of appeal will be filed upon receipt of the record of appeal. Pursuant to leave of this Court granted on the 6th February, 2024, the Appellant filed additional grounds of appeal on the 8th February, 2024. The additional grounds of appeal are that: 1.The learned judges wrongly exerc...