NSE/BSE Codes: BSE: 542760, NSE: SWSOLAR

Summary of Key Information:

Nature of Event / Disclosure:

Regulatory disclosure under SEBI Listing Regulations regarding commencement of arbitration proceedings by a material step-down subsidiary against Shell New Energies Australia.

Involved Parties / Authorities:

  • Claimant: Sterling and Wilson Solar Australia Pty Ltd (SWSAPL)
  • Opposing Party: Shell New Energies Australia Pty Ltd (Shell)
  • Arbitration Body: Arbitral Tribunal to be formed under London Court of International Arbitration Rules 2020 (LCIA Rules)
  • Regulatory Authority: SEBI (for disclosure compliance)

Date / Timeline of Event:

  • Arbitration filed: July 14, 2026
  • Disclosure filed with exchanges: July 15, 2026
  • Disclosure made pursuant to SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026

Brief Description of Outcome / Dispute:

SWSAPL has commenced arbitration proceedings against Shell regarding claims arising under two contracts:

1. Engineering, Procurement and Construction contract for Gangarri Solar Farm in Queensland, Australia

2. Operations and Maintenance contract for Gangarri Solar Farm in Queensland, Australia

The arbitration was filed under LCIA Rules seeking recovery of contractual claims.

Impact of Outcome:

Financial Impact:

In the event of successful arbitration in favour of SWSAPL, the company could recover:

Scenario A (Full 120 MW with Harmonic Filters):

  • AUD $28,029,620.50
  • USD $1,638,628
  • Plus interest and legal costs as determined by the Arbitral Tribunal

Scenario B (Reduced Capacity 95 MW without Harmonic Filters):

  • AUD $20,604,122.57
  • USD $1,638,628
  • Plus interest and legal costs as determined by the Arbitral Tribunal

The document states "Expected financial implications, if any, due to compensation, penalty etc." but does not provide specific P&L or balance sheet impact quantification.

Operational / Business / Strategic Impact:

No material disclosures in this section regarding operational, business, or strategic impacts.

Other Implications:

The disclosure represents a material event requiring regulatory compliance under SEBI Listing Regulations Regulation 30 read with Para B of Part A of Schedule III.

Next Steps / Required Actions:

  • Formation of Arbitral Tribunal under LCIA Rules
  • Arbitration proceedings to continue under LCIA Rules 2020
  • The company is required to provide further disclosures as material developments occur pursuant to SEBI listing requirements