OUTOTEC OYJ PRESS RELEASE JANUARY 27, 2016 at 11:50 AM
Final arbitral award in Outotec's and MMX Sudeste Mineração's dispute over contractual obligations in a filter delivery
Outotec (Filters) Oy and the Brazilian mining company MMX Sudeste Mineração S.A. (MMX) started in December 2013 separate arbitration processes against each other at the International Court of Arbitration in a dispute regarding the delivery of 17 filters.
The arbitration tribunal has now issued the final award which declares that MMX had terminated the supply agreement unlawfully, but also that Outotec should have stopped immediately working with the project when terminated to avoid any extra cost. It further considered the localized filters to have a commercial value for Outotec, thus limiting the final amount to be awarded to Outotec. The final impact of the decision for Outotec was EUR 6.4 million negative. This will be booked in non-recurring items in Q4/2015, and will therefore not impact Outotec's financial guidance for 2015.
For further information please contact:
Nina Kiviranta, General Counsel
Tel. +358 20 529 2017
Eila Paatela, Director - Corporate Communications
Tel. +358 20 529 2004, mobile +358 400 817198