Fluor receives adverse ruling Greater Gabbard project

Fluor receives adverse ruling on Greater Gabbard project

6:43 AM, 17th November 2012
Fluor receives adverse ruling on Greater Gabbard project
David Seaton, Chairman & CEO, Fluor.

IRVING, US: Fluor announced that the company received an adverse decision from an arbitration panel regarding its claims for additional compensation related to the Greater Gabbard Offshore Wind Farm project.

Through its claims, the company sought to recover compensation for schedule and cost impacts arising from delays, disruption and productivity issues which the company believes were attributable to the client and other third parties.

As a result of the decision, Fluor expects to record a pre-tax charge of approximately $400 million in the fourth quarter, which was not considered in its most recent earnings guidance for 2012. With the project substantially complete, the decision is not expected to have a material adverse impact on cash flow.

“Fluor delivered a quality project and we are extremely disappointed with this unexpected decision, especially considering recent statements that acknowledge that all 140 turbines are commissioned and exporting electricity and the overall performance is more than 10 per cent ahead of the client’s expectations,” said David Seaton, Chairman & CEO, Fluor.

© WOC News

 

0 Comments

Login

Your Comments (Up to 2000 characters)
Please respect our community and the integrity of its participants. WOC reserves the right to moderate and approve your comment.

Related News


Albemarle opens new lab capabilities in Baton Rouge centre

BATON ROUGE, US: Albemarle Corporation opened its new laboratory facility and expanded applications capabilities at its process development centre (PD ...

Read more
Himalayan glaciers would vanish in next few decades

PROVO, US: Brigham Young University Professor, Summer Rupper’s most conservative findings indicate that even if climate remained steady, almost ...

Read more
Nova, PFB terminate Nova’s Performance Styrenics business sale deal

CALGARY, CANADA: Nova Chemicals Corporation and PFB Corporation have agreed to terminate their letter of intent for PFB to acquire Nova Chemicals&rsqu ...

Read more
Perstorp to strengthen distribution in Brazil

PERSTORP, SWEDEN: Following the overall review of Perstorp’s use of sales channels and greater focus on the South American business, the company ...

Read more
BP to pay fine for offshore spill in US

LONDON, UK: BP Plc is expected to pay a record US criminal penalty and plead guilty to criminal misconduct in the Deepwater Horizon disaster which cau ...

Read more
Shell to expand olefins and aromatics capacity in Singapore

THE HAGUE, THE NETHERLANDS: Royal Dutch Shell plans to increase by more than 20 per cent the production capacity of olefins and aromatics at its petro ...

Read more