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Total, Samsung Heavy Industries Resolve Dispute Over $3.3b Egina FPSO
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Total Upstream Nigeria Limited (TUPNI) and Samsung Heavy Industries (SHIN) have resolved for out-of-court settlement over controversies trailing the $3.3 billion Egina Floating Production Storage and Offloading Vessel (FPSO).

The new development will apparently facilitate the completion of the FPSO, which is currently lying offshore and bring the parties closer to realisation of 200,000 barrels of crude oil per day from the Egina Deepwater Oilfield.

The two firms had been flexing muzzles in a legal battle over the contract for the building of the $3.3 billion FPSO unit constructed for the $16 billion Egina Deepwater oilfield being developed by Total, a global oil giant.


Total had in a letter signed by its Executive General Manager, Egina Project, Jean-Michel Guy, and addressed to the Group General Manager, National Petroleum Investment Services (NAPIMS), a division of the Nigerian National Petroleum Corporation (NNPC), informed the agency of the settlement.

The letter, obtained by The Guardian yesterday, read: “Given that parties have resolved the dispute after reaching a final settlement agreement as in our letter Ref. EGN-00-AEMG-BNPC-LET-000827, dated August 28, 2018; the order becomes ineffectual since there is no longer a dispute for which arbitration is required.

“We refer to our letter Ref. EGN-00-AEMG-BNPC-LET-000826, dated August 20, 2018 wherein we informed you that the Federal High Court adjourned the legal action instituted by Samsung Heavy Industries Nigeria Limited (SHIN) with regards to the Egina FPSO contract to August 29, 2018 for ruling.

“On the said date, the matter came up at the court for judgment. Although SHIN filed an application to discontinue the matter, the court declined considering the application and proceeded to deliver its judgment. The court gave judgment in favour of TUPNI and dismissed all but one of SHIN’s reliefs (the relief requesting for an order directing the parties from undermining the powers of the Arbitration Tribunal).”

https://www.akelicious.net/2018/12/total-samsung-heavy-industries-resolve.html

[Image: 8271788_eginafpso_jpegeca0829ccbe97bbbbad89d186674c605]

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