Sembcorp Marine fires back on Marco Polo rig cancellation

Sembcorp Marine fires back on Marco Polo rig cancellation

Sembcorp Marine has announced that its subsidiary PPL Shipyard has not received any notice of contract termination from Marco Polo, following the latter’s announcement yesterday that it has cancelled its order for a Pacific Class 400 jack-up drilling rig at PPL Shipyard.

Marco Polo said the cancellation was due to the yard’s “failure to comply with certain of its material contractual obligations” and it would seek a refund of around $21.4m from PPL.

Sembcorp Marine said PPL Shipyard disagrees with the allegations from Marco Polo and will regard it as repudiatory breach of the contract and will terminate the contract and claim amounts due under the contract against MP Drilling and its guarantor Marco Polo. PPL Shipyard will also take necessary steps to enforce its rights.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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