Sembcorp unit agrees to settle gasoil claims dispute

The agreement was reached five years after the lawsuit was filed.

Sembcorp Industries’ wholly-owned subsidiary Sembcorp Cogen has entered into a settlement agreement with Universal Terminal (S) Pte. Ltd. and UT Singapore Services Pte. Ltd. in relation to a lawsuit concerning claims over gasoil supply.

In a bourse filing, Sembcorp said the terms of the agreement are confidential, but “the parties have agreed to full and final settlement of the Claims against UT (with no admission as to liability).”

The suit, which first commenced in 2020, relates to claims for gasoil purchased by Sembcorp Cogen from Hin Leong Trading (Pte) Ltd and stored with UT (Claims).

Sembcorp Cogen will also terminate the suit in accordance with the terms of the agreement.

Sembcorp does not expect this development to have a material impact on its earnings per share and net tangible assets per share for the financial year ending 31 December 2025.