The ICC Court in Paris has ruled in favour of Malakoff with reference to the arbitration filed by Algerian Energy Company Spa (AEC) against the company and TDIC and Hylux in 2019.
Post-hearing and the final verdict in September 2023, Malakoff said the Tribunal had ruled in favour of the group on all material issues and decided that Malakoff did not breach any of the provisions under the Joint Venture Agreement as alleged by AEC.
Also, all of AEC’s claims for liability against MCB and Hyflux, which include damage claims of USD394.8 million and a non-pecuniary damages claim of USD3 million, were dismissed.
However, TDIC is to bear the full costs of the arbitration, comprising the Tribunal’s fees and expenses and the ICC’s administrative expenses, fixed by the ICC Court and reimburse AEC the sum of USD882,569.67. TDIC will is ordered to reimburse AEC the sum of EUR1,822,085.97, which is 50% of AEC’s legal costs; and
Malakoff said the Final Award is not expected to have any material financial impact on the group for the financial year ending 31 December 2023. MCB Group’s carrying amount of investment in AAS had been fully provided for in financial year 2016.
