Fluor reaches Greater Gabbard settlement

Contractor Fluor has says all outstanding claims related to the construction of the disputed Greater Gabbard UK offshore wind farm project have now been resolved.

The company has reached a settlement with developer Greater Gabbard Offshore Winds, which had launched arbitration proceedings against Fluor seeking compensation for schedule and cost impacts which it said arose from delays, disruption and productivity issues. The 500 MW project is located off the coast of Suffolk, England.

"Fluor designed and built a safe, fit-for-purpose facility, and we are pleased that the operating wind farm is meeting the owner’s operating expectations," Fluor chairman and CEO David Seaton said in a statement. The terms of the settlement have not been disclosed, but the contractor said there would be no material impact.

In November last year, Fluor said it had booked a US$ 400 million pre-tax charge in its fourth-quarter results, following the loss of the arbitration panel claim.