KUALA LUMPUR (Oct 11): Abu Dhabi’s Court of Appeal has thrown out Emirates International Energy Services’ (EMAS) bid to annul the payment of an arbitration tribunal award to Sime Darby Bhd’s unit.
Sime Darby Energy Sdn Bhd (SDE) was informed of the decision by its external counsel on Wednesday, Sime Darby said in a filing with Bursa Malaysia today.

The arbitration award was issued on Dec 23 last year, followed by a supplementary award on March 4.

In January, Sime Darby announced that the Dubai International Arbitration Centre had rejected EMAS’ claim against SDE. EMAS was also ordered to pay administrative fees to the tribunal, which included arbitration costs, tribunal fees and expenses.

EMAS had been contracted to identify suitable projects for SDE to participate in under an agreement signed in 2006.

In August 2010, EMAS claimed US$20 million in compensation from SDE for not accepting several identified projects. SDE refuted the claim, saying it was under no obligation to accept EMAS' recommendations.

EMAS failed in its attempt to win its suit against SDE at the Abu Dhabi Judicial Department twice — in 2011 and 2012. It had claimed US$178.2 million for commissions and “moral compensations”.

Appeals by both SDE and EMAS to the Abu Dhabi Judicial Department had resulted in EMAS’ claim being whittled down to 41.05 million United Arab Emirates dirhams (RM46.5 million) before it was presented to the Dubai International Arbitration Centre in 2015.

Sime Darby’s share price closed two sen or 0.88% lower at RM2.26 today, valuing the conglomerate at RM15.37 billion.