JSE-listed multidisciplinary construction group Stefanutti Stocks has advised shareholders that it has submitted an overarching preliminary and general cost claim, as well as a subcontractor overarching preliminary and general cost claim, of R337-million and R193-million, respectively, in relation to the Kusile power project.
In addition to a construction cost claim of R438-million and a finance cost claim of R171-million, the total of all provisional claims submitted to the experts is R1.14-billion.
The claims stem from a dispute between the parties, relating to an overpayment of R1-billion. Eskom says Stefanutti was overpaid for its work at the Kusile power station, but the construction group says the power utility owes it money.
The experts will review all claims, draft agreements and narrow issues of difference for referral to the Dispute Adjudication Board (DAB) for a decision.
Stefanutti says it will submit any remaining claims relating to commissioning osts and interest to the experts in the new year.
The group envisages that the DAB will issue its binding decision during the second quarter of 2023, at which point either party may issue a notice of dissatisfaction and refer the dispute to arbitration.
At this stage, Stefanutti’s claims team is unable to quantify the value of the potential awards as the claims must follow due process. therefore, these provisional claims have not been recognised in the financial statements for the six months ended August 31, which the company released on November 24.