Springfield Dismisses Petraco’s $100M Fraud Allegations, Threatens Legal Action Over Defamation

Springfield Exploration and Production Limited (SEP) has forcefully denied allegations of fraud made by Petraco Oil Company SA, describing them as false, misleading, and without legal basis.

In a statement released on Monday, the Ghanaian oil and gas firm addressed reports suggesting Petraco had petitioned the Economic and Organised Crime Office (EOCO) over a disputed $100 million facility agreement. Springfield contends the matter is strictly a commercial disagreement currently under arbitration and not a criminal issue.

“The claims in Petraco’s petition are baseless and misrepresent the nature of our business dealings,” the company stated. “They are not evidence of fraud and should not be treated as such.”

The dispute centers on a financing agreement signed on February 7, 2023, in which Petraco agreed to provide $100 million, disbursing an initial $50 million. As part of the deal, Springfield offered a charge over 10% of its issued shares as security. However, the company says Petraco registered its interest over the full 10% despite not disbursing the entire facility.

Springfield emphasized that Petraco had conducted extensive legal and technical due diligence — particularly on Springfield’s interest in Ghana’s West Cape Three Points Block 2 — before finalizing the agreement.

The company views the petition and its media fallout as a coordinated effort to damage its credibility.

“This is a commercial disagreement being resolved through arbitration. Framing it as a criminal matter is not only inaccurate but damaging,” Springfield warned.

It also criticized what it called “sensational and speculative” reporting, cautioning that further publication of defamatory content could lead to legal consequences.

“Springfield is a transparent, ethical, and law-abiding Ghanaian company committed to national development. We welcome scrutiny, but it must be grounded in facts, not speculation,” the statement added.

Springfield reaffirmed its readiness to engage stakeholders, including the media and public, with transparency and fairness while urging responsible journalism.

Founded in 2008, Springfield is the operator and majority stakeholder in the West Cape Three Points Block 2 offshore Ghana, in partnership with the Ghana National Petroleum Corporation (GNPC) and its subsidiary, EXPLORCO.