Saipem loses an arbitration award with the Algerian Sonatrach and will have to pay 135 million in relation to a dispute opened in 2014 between the subsidiary Eni and the Algerian company over the construction of a regasification plant in Algeria.
Saipem communicates it through a note, making it known that it "reserves any action in this regard".
The recognition could already take place in the 2017 financial statements, recognizing charges of this amount "not envisaged in the economic guidance", specifies the group's note. Provided the company does not appeal.
In detail, "The ICC International Court of Arbitration has communicated to the parties the decision of the arbitration panel in the dispute that has been ongoing since March 2014 between Saipem SA and Saipem Contracting Alge'rie SpA on the one hand and Sonatrach on the other, relating to the construction of the 'Algerian plant Extraction des liquides des gaz associe's Hassi Messaoud et se'paration d'huile LDHP ZCINA, pursuant to the contract concluded between the parties on 12 November 2008”.
“As part of the decision relating to the LPG arbitration – continues Saipem – the arbitrators upheld, with a majority decision, a counterclaim by Sonatrach by way of compensation for loss of production of the total amount, including interest, approximately USD 135 million on the basis of an alleged gross negligence which Saipem believes is not identifiable. Saipem will examine the reasons for the award and reserves the right to take any action in this regard".
In Piazza Affari, Saipem shares opened down 2,3%. At 10 am the shares are down by 0,8% to 3,688 euros.
