Sapura Energy faces 50m euro arbitration claim over Taiwan wind farm contract

Sapura Energy Bhd and its wholly-owned subsidiary, Sapura Offshore Sdn Bhd (SOSB), have been served with a request for arbitration dated December 29, 2023, from Yunneng Wind Power Co. Ltd. 

This arbitration request follows the termination of a contract in February 2022 for the provision of transportation and installation of offshore wind turbine substructures at the Yunlin Offshore Wind Farm in Taiwan. 

The claimant has provisionally sought 50 million euro, alleging certain breaches of the contract. 

The arbitration request aims to suspend the statute of limitations under German law and aligns with the ongoing Proposed Schemes of Arrangement for Sapura Energy and SOSB. 

The companies are assessing the legal aspects and seeking legal advice, with responses due by March 7, 2024, as per the German Arbitration Institute (DIS) rules. –TMR