Seatrium to pay US$68 million linked to interest following arbitration

SEATRIUM said on Tuesday (May 21) that it has agreed to pay US$68 million to MH Wirth to make good on the interest payable and all outstanding issues arising from an arbitration with the provider of deep-sea mining and extraction services.

MH Wirth commenced arbitration against Seatrium’s wholly-owned subsidiary Jurong Shipyard in December 2021 over the supply of equipment. Seatrium said last month that the arbitration tribunal had ruled in favour of MH Wirth.

The company was ordered to pay US$108 million, comprising US$101 million in vendor termination fees, and US$7 million for ancillary, and legal and arbitration proceeding fees. The tribunal also awarded interests, which will be calculated later.

Shares of Seatrium closed unchanged at S$1.56 on Tuesday, before the announcement.