MIDI plc said Thursday it is open to scrutiny by the Lands Authority and the government on the Manoel Island development, saying however that "it is not in default" on its obligations under the deed signed in 2000.

In a statement on the Stock Exchange, MIDI referred to news reports that the Government is analysing the Manoel Island contract for possible breaches.

The Company categorically affirms that it is not in default of its obligations under the Deed of Emphyteusis dated 15 June 2000. MIDI said it continues to operate in full compliance with all contractual and legal requirements and remains fully committed to the successful delivery of the Manoel Island project in terms of the approved Outline Development Permit which is definitively approved and not subject to further appeal.

MIDI said it is fully open to any scrutiny or review by the Lands Authority, the Government, or any other competent authority. The company said it is confident that any objective review of the facts and the contractual framework will confirm that it has acted in accordance with the provisions of the Deed and there are no grounds for rescission.

The deed of emphyteusis is a legally binding contract, negotiated with successive administrations between 1994 and 2000 and executed between MIDI plc and the Government of Malta, after having been unanimously approved by both sides of the House of Representatives.

It clearly sets out the rights and obligations of both parties and cannot be disregarded or unilaterally set aside. The Company's rights and obligations under the Deed are protected by law, and MIDI plc will continue to uphold its responsibilities in good faith, the company said.

The Company said there are provisions of the deed which automatically extend the time periods for completion of the development when there are delays including those related to the issue of permits and archaeological findings at both Tigne Point and Manoel Island.

In view of this the limits for the performance of the relevant obligations by MIDI plc are automatically extended by the time allowed in terms of the deed. This mechanism is clear and was accepted by Government in 2000 when the deed was approved by the House of Representatives, MIDI said.

The matter has also been dealt with in the company's audited consolidated financial statements for the year ended 31 December 2024, which were authorised for issue on 29 April 2025.

MIDI said it will continue to act in accordance with the highest standards of corporate responsibility and will keep the market informed of any material developments in a timely and transparent manner.