Link Securities | With regard to the contract that Duro Felguera (MDF) signed with Sonelgaz-Production d’Electricité for the construction of a combined cycle power plant in Djelfa (Algeria), Duro Felguera reports that the client, unexpectedly, while the parties were negotiating a solution for the project, unexpectedly proceeded to execute the guarantees for an amount equivalent to €54.8 million.
This contingency was provided for in the Restructuring Plan approved by the creditors and, therefore, does not alter the process for its judicial approval. In any case, Duro Felguera states that it will take all necessary actions to defend its rights, both as a result of the execution of the guarantees and in the ongoing arbitration proceedings and other claims.
