APB Subsidiary Sues BASF Petronas Chemicals Over Unpaid Contract Balance
APB Resources Berhad has announced that its wholly-owned subsidiary, Amalgamated Metal Corporation (M) Sdn Bhd, has filed a Statement of Claim against BASF Petronas Chemicals Sdn Bhd (BASF) in an ongoing arbitration dispute involving unpaid project sums.
AMC filed the Statement of Claim with the Arbitral Tribunal on 3 December 2025, formally initiating the substantive phase of arbitration proceedings. The dispute centres on a 2017 Unit Contract under which AMC and Austria-based Christof Projects GmbH were jointly appointed as on-shore and off-shore consortium partners for the supply, delivery, installation, testing and commissioning of a steam boiler and turbine package.
According to APB, AMC completed its contractual scope in May 2019 and issued invoices in line with the agreed payment procedures. However, BASF allegedly failed or refused to pay the outstanding balance of EUR 1.85 million (RM8.82 million) and additional works amounting to EUR 439,482 (RM2.10 million).
Earlier, AMC had issued a Notice of Arbitration to BASF. BASF later challenged the Tribunal’s jurisdiction, but the challenge was dismissed. BASF has since filed an originating application with the High Court of Singapore seeking to set aside that decision. AMC is proceeding with the arbitration while awaiting the outcome of the Singapore court proceedings.
APB said the financial impact of the arbitration will depend on the final award. The disputed amount had already been fully impaired in the company’s previous financial year.
The group does not expect the arbitration to have any operational impact on its businesses and reserves the right to pursue further legal remedies permitted under Singapore law.
