Marco Polo gains stay of proceedings in legal battle with Sembcorp Marine unit

Arbitration proceedings have already commenced.

The plot thickens for Marco Polo and Sembcorp Marine unit PPL Shipyard’s legal tussle as the former has been granted a stay of proceedings against it following their jack-up rig controversy earlier this year.

According to a press release by Marco Polo, the Singapore court has also ordered the Sembcorp Marine subsidiary to pay the costs of the application to Marco Polo Marine.

“The Board had then stated its position that neither the Company nor MP Drilling is under any obligation to make the payments claimed by PPL whether under the Rig Construction Contract or the Guarantee,” Marco Polo said.

“The Board had also stated in its announcement of 1 December 2015 that under the terms of the Guarantee, PPL has no basis to commence legal action against the Company in the Singapore courts,” Marco Polo added.