Exxon Mobil Corp is negotiating with Chad over a record USD 74 billion fine the US oil company was told to pay by a court in the central African nation over unpaid royalties, Bloomberg reported on Tuesday.
Exxon has appealed the October 5 court ruling, but the appeals court hearing has been delayed because of the talks, Bloomberg reported, citing a lawyer for Exxon.
Exxon declined to comment.
The court decision fined a consortium led by Exxon over 44 trillion CFA francs (USD 73.44 billion) - nearly four times BP's Deepwater Horizon settlement and roughly seven times Chad's annual gross domestic product.
The consortium, which includes Malaysian state oil firm Petronas and Chadian oil company SNT, were found to owe the country nearly 484 billion CFA francs (USD 808 million) in royalties, according to the court judgement.
It did not explain why the penalty amounted to more than 90 times that amount.
The unpaid royalties stem from a dispute over fees, sources in the Chadian Finance Ministry have told Reuters. The Finance Ministry, they said, is seeking a 2 percent royalty fee from the consortium, a rate the defendants have said is higher than the agreed level.
Petronas and SNT could not immediately be reached for comment.
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