Frontera Resources Corporation, a Houston, Texas U.S.A. based international oil and gas company that has been working in the country of Georgia since 1997, today announced that its former executive and his associates continue to issue false and misleading public statements to the press associated with their attempted conversion of Frontera’s business in Georgia. These statements contain false claims and misrepresentations as to Frontera’s business in the country of Georgia and are designed to induce inappropriate support for their fraud.

Mr. Zaza Mamulaishvili was dismissed last year from his managerial/executive positions held in Frontera’s companies due to his abusive actions. His public statements, as well as those of his associates, are intended to mislead and damage Frontera and also attempt to mischaracterize the Government of Georgia as hostile to Frontera’s business interests in Georgia and hostile to foreign direct investment from the United States. Mr. Mamulaishvili’s recently released statements also contain personal political speculations. To be clear, Frontera is working closely with the Government of Georgia regarding its return to full operations and is very appreciative of the Government’s ongoing constructive support. Going forward, Frontera intends to cooperate with local stakeholders, employees and contractors to remedy any damages that were inflicted by Mr. Mamulaishvili and his affiliates.

Mr. Mamulaishvili’s statements amount to tortious interference with Frontera’s business in Georgia and Frontera has taken action in response to this improper behavior. He and his activities are in no way associated with Frontera Resources Corporation and its affiliates. They are not authorized to utilize Frontera’s name and brand. Moreover, they are in no way connected with U.S. interests, nor Frontera’s historical investments of approximately US$500 million.

Frontera’s board of directors dismissed Mr. Mamulaishvili from all corporate responsibilities with Frontera in August 2020 and thereafter terminated his employment for cause. Subsequently, Frontera initiated legal action against him in the United States and in Georgia in order to protect and preserve its longstanding business in Georgia.

In this context, on June 11, 2021, Frontera Resources obtained a Temporary Injunction in the 281st Judicial District Court of Harris County, Texas, USA that, among other things, prohibits Mr. Mamulaishvili and his affiliated company, Green Capital, from 1) converting Frontera’s assets in Georgia, 2) competing with Frontera in any way and 3) conducting any operations associated with Frontera’s holdings in Georgia. This is an extraordinary action by any court in the United States, and Frontera met the burden of proof required to set the order. The court issued this order because it recognized the irreparable harm that would ensue if such an order were not granted and enforced. Accordingly, Mr. Mamulaishvili, Green Capital and their associates must cease and desist from any and all competition with Frontera and its interests. Also, on July 14, Frontera applied to the Prosecutor General of Georgia with the request to initiate criminal proceedings in Georgia against Mr. Mamulaishvili. The investigation is launched in connection with unlawful appropriation or embezzlement of another person’s property or property rights using the official position and in especially large quantities based on Articles 182.2 and 182.3 of Criminal Code of Georgia. Frontera intends that Mr. Mamulaishvili and his associates will bear the full criminal responsibility for all wrongdoings against Frontera in Georgia.

Frontera looks forward to continued cooperation with the Government of Georgia and, in doing so, strengthening U.S./Georgia trade relations. It is our goal to be an example of successful U.S. investment in Georgia and, by doing so, encourage more U.S. companies to consider opportunities in Georgia for their next investment location.

Editor Notes:

Founded in 1996 in Houston, Texas U.S.A., Frontera Resources Corporation is a privately held independent Houston-based international oil and gas exploration and production company whose strategy is to identify opportunities and operate in emerging markets in Eastern Europe around the Black Sea and the United States.

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