NY court refuses overturn arbitral ruling that favors Venture Global over Shell
A state judge in New York rejected Monday the request of British oil giant Shell to overturn an arbitration award which favored Venture Global. The dispute was about Venture Global's alleged improper sales of liquefied gas by American company.
Justice Joel Cohen, of the Supreme Court of California, determined that no further discovery was necessary because the court must defer to arbitral rulings. Shell has effectively lost its challenge against Venture Global for failing to supply it with LNG cargoes years after the plant first produced supercooled gas.
Venture Global's spokesperson stated on Monday that they were pleased with the New York State Supreme Court’s decision to deny Shell’s request to overturn the unanimous arbitral award in August 2025 in favor of Venture Global.
Shell did not respond immediately to a comment request.
Shell, Repsol, and BP are among the energy companies that filed arbitration claims against Venture Global in 2023, which operates LNG facilities in Louisiana. The LNG producer has been accused of profiteering unfairly by selling gas on the spot market at higher prices following Russia's invasion of Ukraine instead of honoring their contracts.
Shell and Repsol both lost their cases. BP, however, won in October. BP's damage has not yet been determined.
Shell's case revolved around shipments coming from Venture Global Calcasieu Pass facility in Louisiana. It accused Venture Global that it had delayed the start date of commercial operations at the Calcasieu Pass facility in Louisiana to try and?sell the gas elsewhere at market price.
Shell claimed in court documents that Venture?Global had concealed communications to the three arbitrators explaining its activities relating to the facility. Venture Global responded that Shell's accusations?of fraud & misconduct were a baseless & improper attempt to undo an "full & fair" arbitration.
Calcasieu Pass began commercial operations in 2025. Shell also has a long-term agreement with Venture Global’s Plaquemines plant, which is located in Louisiana. Curtis Williams, Houston; Nathan Crooks, Chris Reese and Chris Reese edited the story.
(source: Reuters)
