Key Takeaways
- Petrosin CNG has filed a $19.1 million claim with the International Chamber of Commerce (ICC) against Mari Energies.
- Mari Energies contests the claims, arguing it lawfully terminated its gas supply agreement due to Petrosin’s lack of valid license.
- The case is part of growing international commercial arbitrations involving Pakistan's energy sector.
Petrosin CNG, a company operating in Pakistan, has initiated proceedings before the International Chamber of Commerce (ICC) in London against Mari Energies Ltd. The claim seeks damages of $19.1 million (approximately Rs5.357 billion), along with arbitration costs.
Mari Energies, one of Pakistan’s top three oil and gas producers, has contested Petrosin's claims, defending its decision to terminate the Gas Sales and Purchase Agreement (GSPA) because of the claimant having no valid license. According to court filings, Mari Energies issued a termination notice in May 2025, which Petrosin contends was unlawful and contrary to the terms of the GSPA.
Under the terms of the agreement, the GSPA was intended to remain in effect for as long as gas remained available from the Halini Production Field, provided that the buyer was not in breach of its obligations. Mari Energies claims it validly terminated the contract due to Petrosin’s non-compliance with licensing requirements.
Petrosin CNG entered into a GSPA with Mari Energies for the supply of gas from the Halini Production Field. The agreement, governed by Pakistani law and containing an arbitration clause under the International Chamber of Commerce Rules of Arbitration, was dismissed by the Islamabad High Court on January 1, 2026.
Petrosin CNG has also filed a Civil Petition for leave to appeal before the Supreme Court of Pakistan under Article 185(3) of the Constitution. The company contends that Mari Energies unlawfully terminated the GSPA and caused substantial commercial losses.
In June 2025, the Civil Court granted interim relief preserving the status quo pending adjudication. Petrosin invoked the arbitration agreement by commencing proceedings under the ICC Rules and also filed an Enforcement Petition seeking recognition and enforcement of the arbitration agreement, together with interim and conservatory measures.
The Islamabad High Court dismissed the Enforcement Petition, stating that it did not recognize Mari Energies’ right to terminate the GSPA. This case adds to a growing list of international commercial arbitrations involving Pakistan’s energy sector, highlighting ongoing disputes in the industry.
