Monday, August 26, 2019

Barakah Offshore disputes RM85m claim

PETALING JAYA: Barakah Offshore Petroleum Bhd and its wholly owned subsidiary PBJV Group Sdn Bhd have disputed the claim notices by PRPC Utilities and Facilities Sdn Bhd for RM85.2 million in relation to the P14 contract.

PBJV also issued a demand notice dated Aug 22, 2019 to PRPC.

Both notices respectively have cited series of conducts committed by PRPC which have been the cause of serious disruptions and delays to the progress of the work under the P14 contract involving utilities, interconnecting, offsite facilities procurement, construction & commissioning of underground pressurised non-metallic piping firewater network east side.

“The notices (in no particular order) stated among others that PRPC conduct and failures include (but not limited to) the failure to pay RM6.58 million within 30 days being the sum due under Progress Claim No. 9 which has been duly certified by PRPC and the subsequent failure to process PBJV’s Progress Claim No.10 which has been submitted to PRPC since Oct 30, 2018 for work done,“ Barakah said in a stock exchange filing.

Barakah and PBJV cited that despite the contractual procedures for variation of works, (which require a change order to be issued by PRPC), there have been verbal variation instructions given by PRPC which delayed the original milestones.

PBJV has demanded PRPC to pay RM6.58 million and to withdraw the discontinuance letter within seven days from the date of PBJV’s notice.

Further, PRPC has been demanded to process the Progress Claim No. 10 within 15 days from the date of the receipt of the said notice.



source https://www.thesundaily.my/business/barakah-offshore-disputes-rm85m-claim-LA1301937

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