Daewoo Engineering and Construction Wins ICC Arbitration, to Receive 53.8 Million USD

Daewoo Engineering and Construction through its consortium with Mitsubishi Heavy Industries MHI has won an ICC international arbitration case, securing full payment of 53,824,824 US dollars of unpaid construction costs from the client EL SHARIKA EL DJAZAIRIA EL OMANIA LIL ASMIDA SPA.
The arbitral tribunal recognized limited liability of 5,782,472 dollars for partial non-performance of facilities but Daewoo's share of the damages is zero resulting in a net cash inflow.
The impact on equity is minimal at 0.3 percent and the remaining claims were dismissed under the Global Settlement Agreement removing legal uncertainty.
The client may file a challenge against the award but Daewoo plans to respond actively.
[AI Summary]Daewoo Engineering and Construction achieved a substantive victory in ICC arbitration recovering approximately 53.8 million dollars in funds and eliminating legal risks. This positively impacts financial health and is likely to be favorable for shareholder value in the short term.