Wood Group to pay $115m to settle legacy lawsuit

Engineering giant John Wood Group has agreed to pay out $115m (£97.5m) to settle a legacy lawsuit.

The Aberdeen-based firm’s settlement follows the conclusion earlier this year of a lawsuit involving Enterprise Products Operating LLC.

Enterprise first filed a lawsuit against Amec Foster Wheeler and one of its subsidiaries in 2016, the year before Wood bought Amec.

It related to alleged cost increases and delays on a project agreed in 2013.

The contract involved the engineering, procurement and construction of a propane dehydrogenation unit in Texas.

Wood said on Friday that the agreed settlement would be paid in one instalment within the next seven days.

In September, Wood announced it had completed the sale of its Built Environment consulting business to Canadian firm WSP Global for about $1.8bn (£1.52bn), immediately reducing its net debt position.