We are representing a US owned energy company in relation to an LPG-fuelled combined cycle power generation plant in west Africa. The project is the first of its kind to be undertaken in Africa. Our client is the employer under an EPC Contract, with a Greek company being the EPC Contractor and equipment provided by a multi-national engineering company. The project has been subject to considerable delays and failures in the equipment supplied. Our client sought to recover liquidated damages for the delays, leading to a dispute between the parties.
Together with our non-contentious construction team, we advised our client on an early taking over agreement between the parties to settle outstanding claims and to enable operations to commence. The work involved consideration of and dealing with consequential amendments to the related warranty and finance documents.
Negotiations on the matters were complex, involving over 70 participants at times. This instruction followed the earlier work of our contentious and arbitration colleagues' on a settlement agreement between the parties, which similarly required consideration of the ancillary project documents and consideration of possible calling of performance bonds. We are now providing on going advice in relation to performance failures in the plant.
Our teams across the firm have worked closely with each other, providing first-class advice to clients under considerable time pressure, in respect of this complex project.