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24-12-2021, 06:32 PM
Sembmarine unit faces arbitration over equipment supply contracts
SEMBCORP Marine (Sembmarine) Sembcorp Marine: S51 0% on Friday (Dec 24) announced that its wholly-owned subsidiary Jurong Shipyard has received a notice of commencement of arbitrations from a vendor over 4 separate contracts.
The vendor is alleging breach of the contracts, which are for the supply of equipment for some of Jurong Shipyard's projects.
Under these contracts, it is claiming payment for invoices amounting to US$76 million plus other costs and interests, which Sembmarine said "remain to be proved" by the vendor.
According to Sembmarine, Jurong Shipyard, which provides services such as ship repair, shipbuilding and ship conversion, maintains that these contracts have been validly suspended or terminated.
The group also said both parties were previously in discussions over the payment claims for such suspension or termination, but have yet to reach an agreement.
Jurong Shipyard has engaged legal advisers for the arbitration proceedings and will defend all claims made against it, said Sembmarine.
https://www.businesstimes.com.sg/compani...-contracts
SEMBCORP Marine (Sembmarine) Sembcorp Marine: S51 0% on Friday (Dec 24) announced that its wholly-owned subsidiary Jurong Shipyard has received a notice of commencement of arbitrations from a vendor over 4 separate contracts.
The vendor is alleging breach of the contracts, which are for the supply of equipment for some of Jurong Shipyard's projects.
Under these contracts, it is claiming payment for invoices amounting to US$76 million plus other costs and interests, which Sembmarine said "remain to be proved" by the vendor.
According to Sembmarine, Jurong Shipyard, which provides services such as ship repair, shipbuilding and ship conversion, maintains that these contracts have been validly suspended or terminated.
The group also said both parties were previously in discussions over the payment claims for such suspension or termination, but have yet to reach an agreement.
Jurong Shipyard has engaged legal advisers for the arbitration proceedings and will defend all claims made against it, said Sembmarine.
https://www.businesstimes.com.sg/compani...-contracts
