Arabian Cement Company has announced the filing of a lawsuit against Emaar the Economic City at the Commercial Court of Jeddah, to request the remaining quantities of limestone ore in compliance with the agreement signed between the two parties on April 28, 2012.
Arabian Cement clarified in a statement on “Saudi Tadawul”, today, Tuesday, to have announced on April 29, 2012, the final agreement with Emaar the Economic City, in about the overlap of the lands owned by Emaar the Economic City with the lands in concession granted to the Arab Cement Company.
He added that during the period of the agreement, which extends for six years and ended on April 28, 2018, Emaar the Economic City supplied the Arab Cement Company with 44.7 million tons of crude oil, while the remaining 5.3 millions of tons have not been received by the Arab Cement Company.The period of the agreement, according to their reports, despite repeated communications and meetings with the previous and current management of Emaar the Economic City about it over a period of three years , which yielded no results.
And Arab Cement continued: “As a result, the company has decided to proceed with the legal procedures to preserve its rights and request the estimated residual quantities. in 5.3 million tons, or return part of the land it had previously ceded to the Economic City of Emaar. Society in exchange of the supply of a quantity of 50 million tons of good limestone ore for the production of cement from the dredging product of the King Abdullah port.
Arabian Cement stated that, according to the documents at its disposal, it obtained legal advice from the company to request the remainder of the amount, as well as notifying the Emaar Economic City Company of its intention to appeal to the judiciary according to the letter addressed to the company at the ‘beginning of September 2021, to which the company has not yet received a response, and the company does not expect to take any responsibility following the filing of a lawsuit.
He added that it is not possible in this phase will determine the financial impact of this case and any developments regarding this case will be announced in following.
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