Abu Dhabi – Mubasher: The documentation pertaining to Dana Gas’ sukuk issue is subject to UAE laws, which means that the judgment in the case is to be delivered by the UAE court, the company’s managing director Majid Hamid Jafar told Al Khaleej newspaper.

Dana Gas revealed that the Sharjah Court of Appeals had approved a request allowing the company to take part in the legal proceedings before a UK court regarding the company’s sukuk case.

A few months ago, Dana’s problems came to light when the company said its $700-million sukuk had become sharia non-compliant.

In 2012, sukuk holders said that the company had failed to meet payments. However, Jafar said that these claims were unfair as the company is still in talks over its sukuk, according to the newspaper.

The company should carefully calculate the interest investors would receive when issuing Islamic bonds and similar securities, the top official added.

Some sukuk holders claim that they have not received any yields from the sukuk they had purchased 10 years ago.

Dana Gas has been able to repay $560 million in cash by the end of the third quarter of 2017, Jafar told the newspaper, indicating that the company had also received $211 million in dues from the Egyptian government, which in turn bolstered its financial position.