A Federal High Court sitting in Lagos has dismissed a suit filed by Eurafric Energy Limited, challenging the revocation of its operatorship of the Dawes Island Marginal Field.

The case, marked FHC/ L/CS/1110/2021, was struck out by Justice Akintayo Aluko on June 9, 2026, following the plaintiff’s application to discontinue the matter.

Eurafric Energy had approached the court to contest the Federal Government’s decision regarding its interest in the oil field. The company’s operatorship licence, originally linked to the asset, had expired in June 2003.

The licence was later referenced in a 2019 award; however, the field had not yet entered commercial production.

At the resumed hearing, counsel to the plaintiff, Jerry Omoregie, informed the court of a motion dated May 29, 2026, and filed on June 3, 2026, seeking leave to discontinue the suit.

Counsel to the 1st and 2nd defendants, representing the Ministry of Petroleum Resources and the Minister of State for Petroleum Resources, did not oppose the application but requested that costs be awarded.

Similarly, counsel to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) did not object but urged the court to dismiss the suit. Lawyers representing a party seeking to be joined in the case also did not object.

In his ruling, Justice Aluko held that the appropriate order in the circumstances was dismissal rather than a striking out of the suit.

“That the appropriate order to make is that of dismissal; the suit is accordingly dismissed,” the judge ruled.

The court, however, declined to award costs, directing all parties to bear their respective legal expenses.

The dispute is one of several legal matters connected to the Dawes Island Marginal Field. Separate appeals relating to similar issues involving Eurafric Energy are currently before the Court of Appeal, Lagos Division.

Court filings by government entities, including the Ministry of Petroleum Resources and the NUPRC, indicate that the appeals raise issues relating to jurisdiction, the status of the licence, and participation in subsequent processes concerning the asset.

The outcome of the appellate proceedings may further clarify the legal questions surrounding the field and the regulatory framework governing marginal oil assets in Nigeria.

Eurafric Energy said it is unclear whether Petrolan 54 had filed its own brief, but the government’s response to the matter is commendable.