DSME preparing appeal to Songa Offshore arbitration ruling
- Exploration & Production
South Korea’s Daewoo Shipbuilding and Marine Engineering, DSME, is set to appeal against an arbitration tribunal ruling from July in a rig dispute with offshore driller Songa Offshore.
DSME, which built four Cat D semi-submersible drilling rigs for Songa Offshore, in 2015 launched arbitration proceedings in respect of the construction contracts for the two first Cat D rigs, Songa Equinox and Songa Endurance seeking damages of $373 million including repayment on liquidated damages of $44 million.
The arbitration tribunal in July ruled in favor of Songa Offshore and against the Korean rig builder.
Songa Offshore, soon to be acquired by Transocean, on Thursday said it had been served with DSME’s application to the English Court where DSME is seeking permission to appeal the arbitration awards.
“Songa Offshore considers that DSME’s application was made out of time and that it is unlikely that permission to appeal will be granted,” Songa Offshore said.
Offshore Energy Today Staff