uncategorized · 9/1/2008
NESTE OIL CLARIFIES ITS CLAIMS AGAINST YIT IN A CONTRACT DISPUTE
Neste Oil has clarified its claims against YIT Industrial and Network Services as totaling some EUR 107 million in a contract dispute that was put before the Court of Arbitration in April this year. As reported in April, Neste Oil's claims against YIT consist of damages based on contract delays, now specified at approximately EUR 38.5 million, and damages valued at some EUR 68.5 million resulting from subsequent lost production.
The dispute between Neste Oil and YIT relates to disagreements related to the final financial settlement of mechanical installation work on production line 4, which was completed and came on stream at Neste Oil's Porvoo oil refinery in the summer of 2007.
YIT has lodged counter claims against Neste Oil totaling some EUR 25 million, primarily based on work carried out under the contract and the additional costs incurred due to the prolongation of the project.
Both parties contest each other's claims.
Neste Oil Corporation
For additional information, contact:
Mr. Matti Hautakangas, General Counsel, Neste Oil Corporation, tel. +358 (0)10 458 5350
Senior Vice President, Corporate Communications
Neste Oil in brief
Neste Oil Corporation is a refining and marketing company focused on advanced, clean traffic fuels, with a strategy that prioritizes growing its refining and premium-quality renewable diesel businesses. Neste Oil's refineries are located at Porvoo and Naantali in Finland, and have a total refining capacity of approx. 260,000 bbl/d. The company recorded sales of EUR 12.1 billion in 2007 and employs around 5,100 people. The company's shares are listed on the OMX Nordic Exchange in Helsinki. For further information, see www.nesteoil.com