Baltic Oil Terminals settles dispute

17th Mar 2010 08:37

Shares in Baltic Oil Terminals gushed ahead after the company, which operates terminals at the Russian port of Baltysk in the Kaliningrad territory, said it had settled a dispute with former director Vladimir Gavrilov, reducing the company's liabilities by $1.4m.Baltic announced last June that a company controlled by Gavrilov had issued a claim form in the High Court against its subsidiary Baltic Hydrocarbons for the repayment of a loan of $750,000 plus interest. His appointment had been terminated by Baltic 'as a result of actions that the board considered to have been against the company's interests.' Baltic said it had 'a number of counter claims and related claims against Goulding Partners, Mr. Gavrilov and certain entities controlled by him which Baltic intends to pursue with equal vigour.'In today's announcement, Baltic said it had reached agreement to settle all claims and counterclaims between the company and Gavrilov. As part of the settlement, Baltic organised the placing of all the 4,337,625 Baltic shares owned by Gavrilov with an institutional investor.'This settlement removes any future concerns regarding potential litigation and allows management to remain focussed on the core business without distraction,' said Baltic chief executive Simon Escott.