KUALA LUMPUR (Nov 10): MSM Malaysia Holdings Bhd has filed a lawsuit against Gas Malaysia Bhd over a disputed sum of RM10.32 million relating to gas supply to its wholly owned unit MSM Sugar Refinery (Johor) Sdn Bhd (MSM Johor).
MSM Malaysia said MSM Johor was forced to stop accepting gas supply from Gas Malaysia’s subsidiary, Gas Malaysia Energy and Services Sdn Bhd (GMES), following the shutdown of MSM Johor’s refinery operations due to incidents of leakages in the boilers in 2020 and 2021.
GMES had in April 2022 demanded the RM10.32 million from MSM Johor via a take-or-pay (T-O-P) invoice for gas supply.
The amount is the alleged charges for the difference between the T-O-P quantity and the actual quantity delivered in 2021, said MSM Malaysia in a Bursa Malaysia filing.
The group said MSM Johor subsequently informed GMES of its objection to the T-O-P invoice, but GMES proceeded to issue a demand against the company on Aug 23, necessitating MSM Johor’s filing of the lawsuit.
MSM Malaysia said the group and MSM Johor are denying all of GMES’ allegations of liability and claims for the disputed sum.
It added that MSM Johor is seeking an order that the reasonable sum payable to GMES be assessed by the court.
Shares in MSM Malaysia closed down 0.5 sen or 0.61% to 81 sen on Thursday (Nov 10), giving the group a market capitalisation of RM569 million.
Gas Malaysia’s share price settled 10 sen or 3.04% higher at RM3.39, valuing the group at RM4.35 billion.
