Fugro to Pay $26.8M for Charter Termination
- Business & Finance
Dutch subsea and survey specialist Fugro said it has lost an arbitration case involving Tasik Toba Subsea over termination of a long-term-chartered DP3 diving support vessel, the Southern Star.
An arbitration tribunal ruled that Fugro should not have terminated the charter contract with Tasik and awarded the company a sum of $ 26.8 million.
In March, Fugro handed back the Southern Star from its 6-year charter claiming serious technical failures and grave design flaws as the reason.
The vessel had been almost continuously employed by Fugro on some 11 projects in Australia, New Zealand and Malaysia during its charter.
Fugro said it still has a number of counterclaims against Tasik which will be addressed at a later point this year.