A Canadian court has ordered Nova Chemicals to pay Dow an additional amount of $1.62 billion in damages incurred from the companies’ jointly owned ethylene asset in Joffre, Alta., Dow said on Wednesday.
The ruling adds to a previous payment of $1.08 billion made by Nova to Dow in 2019.
In 2018, the court found that Nova failed to run the plant at full capacity and did not meet its contract obligations with Dow starting in 2001, resulting in reduced ethylene to Dow.
The new damages cover updated losses from 2001 to 2012, and losses from 2013 to 2018, which had not been calculated before.
Dow said it expects to receive the latest payment in the fourth quarter.
Reporting by Tanay Dhumal in Bengaluru; Editing by Maju Samuel; Reuters
