Easy Come, Easy Go, CIMIC To Write-Down almost $1bn
A day after announcing that it had booked between $1.7bn-$1.9bn for selling a 50% stake in Thiess Mining Services, CIMIC Group has today announced that it has failed to claw-back almost $1bn from contract adjustments on its’ Gorgon Jetty project following arbitration. In tit-for-tat awards, CIMIC was awarded $78m as a result of the process whilst it had to pay Chevron $35m. The revenue was originally booked back in 2016 prior to entering litigation/arbitration but the Group only carried a portion of that debt on its books since. In its statement the company said that this result would not have a material impact on its operations or cash position.