MUSCAT: The Supreme Court has rejected a petition filed by Galfar Engineering and Contracting SAOG against the verdict of Muscat Appeal Court which nullified the arbitration award following a legal battle with Oman Wastewater Services Company (Haya Water).

In a statement disclosed to Muscat Securities Market, Galfar said the decision will have a potential financial impact on the company. “We would like to inform our esteemed Shareholders and Investors that in reference to our earlier disclosure dated 19 February 2018 on the arbitration award issued in favour of Galfar Engineering and Contracting SAOG (Claimant) for A’ Seeb Sewer Network Project – Contract 3 , which was subsequently appealed against by the client M/s Oman Wastewater Services Company SAOC Haya Water (Defendant). The Supreme Court has issued a decision rejecting  the petition filed by Galfar against the verdict of Muscat Appeal Court which nullified the above mentioned arbitration award,” Galfar said in the statement.

“According to initial assessment this decision by the Supreme Court may have a potential financial impact on the books of accounts by approximately OMR 21 million. Henceforward, Galfar will re-initiate the necessary legal proceedings to claim the amounts subject of the dispute in the arbitration award which has been nullified,” the statement added.