The injunction relates to the G1 oil and gas project off India’s east coast and prohibited the cashing of performance guarantee bonds amounting to US$21.5 million.
ONGC called on Clough's bank guarantees in June when it terminated the G1 contract.
The G1 project involves shallow-water and deepwater activities feeding an onshore gas plant on India's east coast.
The works began in November 2004 with overall completion due in April 2006, and this was subsequently revised by ONGC to April 2007, according to Clough.
But ONGC terminated the contract after failing to complete several deepwater wells, which Clough said had made it impossible for it to meet milestones.
The ruling was made on Christmas Eve. A stay of the judge’s decision has been granted until February 2008 to allow Clough an opportunity to seek leave to appeal to the Full Bench of the Federal Court and providing Clough time to review the judgement and fully consider the grounds for appeal.
In the meantime, the injunction prohibiting ONGC from calling on Clough's bank guarantees remains in force.
Clough said it maintains its previous guidance on this matter.
“No change in the accounting position is required; further the company commits to continue with the rigorous pursuit of its rights under the contract as it continues to seek a negotiated settlement with ONGC,” Clough said.
