Shell has lost an arbitration hearing and will pay Malaysian shipping giant MISC $255 million in a case related to its leased Gumusut-Kakap semi-submersible production platform.
MISC’s subsidiary Gumusut-Kakap Semi-Floating Production System (GKL) filed the arbitration claim last September against Sabah Shell Petroleum for outstanding additional lease rates, payment for completed variation works and other associated costs.
MISC said in a stock exchange announcement the adjudication decision had been issued in its favour and comprised $254,447,464 being the amount due for variation works, plus applicable interest, and costs of 308,634.04
