Group Five in court battle to stop multimillion-rand claim over Ghana power project
The cash-strapped construction group approaches the high court to bar Cenpower's demands
Group Five, which is facing a claim of more than six times its market capitalisation, on Wednesday dismissed as baseless Ghanaian firm Cenpower Generation’s allegations of a breach of contract regarding a delayed power project. In efforts to ward off Cenpower’s $62.7m claim, the struggling construction company on Wednesday told the High Court in Johannesburg it is not in breach of the contract for the 340MW gas and oil-fired combined cycle power plant in Kpone, Ghana. Group Five legal representative Andre Gautschi disputed Cenpower’s claims that it is in breach of contract. “If you are going to make a demand, there must be a breach,” Gautschi told the court. Gautschi said Group Five is not at fault for the missed October deadline for the commissioning of the plant. He reiterated the company’s assertion that the delay is due to contamination of the fuel provided by Cenpower. “The provision of fuel is the client’s responsibility,” Group Five said on Tuesday. The two companies are at l...
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