Swiber’s ONGC Projects Suspended (India)

Business & Finance

Singapore-listed Swiber informed that India’s Oil and Natural Gas Corporation (ONGC) has suspended projects carried out by its two subsidiaries, reportedly due to ongoing legal actions started by certain creditors in the India Courts against ONGC and Swiber’s two units.

Specifically, subsidiaries affected are Swiber Offshore Construction (SOC) and associated company Swiber Offshore India (SOI) which have been engaged in: C-26 Cluster Pipeline Project; Daman Development Project; and the Pipeline Replacement Project-4.

According to Swiber, legal actions have caused delays to project timelines, and have prevented ONGC from being able to make payments to complete the projects.

As a consequence, SOC and SOI have been requested to suspend all activities, if any, for the execution of the projects under the existing contracts as ONGC will be taking charge of the projects and executing the balance work in accordance with the terms of the relevant contracts for the projects.

SOC and SOI will be engaging ONGC and other stakeholders directly to explore other options to complete the projects, Swiber noted.

Subsea World News Staff