Boustead Projects, on September 4, says its wholly-owned subsidiary, Boustead Projects E&C, received a letter of demand from Veolia ES Singapore.
The letter, which was dated August 28, sought some $17.8 million from Boustead Projects E&C for liquidated damages for civil and associated works at its Singapore Hazardous Waste Treatment Facility.
Boustead Projects E&C secured a design-and-build contract on June 8, 2017, from Veolia ES for the same facility.
See: Boustead Projects unit wins contract to build hazardous chemical waste treatment facility
Boustead Projects E&C says it had made a claim against Veolia ES previously and received the letter of demand amidst ongoing proceedings.
The company adds that it is currently seeking formal legal advice on the matter, but it intends to “vigorously dispute” Veolia’s “unreasonable” claim.
Shares in Boustead Projects closed flat at 79 cents on September 4.
