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July 31, 2019

Chinook Power Station contractor suing SaskPower over $2.3 million payment dispute

As reported on Global NewsSaskPower is being sued by a subcontractor on the Chinook Power Station as the next step in a lengthy payment dispute worth roughly $2.3 million.

The statement of claim was filed in Swift Current’s Court of Queen’s Bench by Alberta-based subcontractor Solid Industrial Solutions. The claim names SaskPower and the plant’s engineering, procurement and construction (EPC) contractor, Missouri-based Burns and McDonnell (B&M) as defendants.

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Solid and B&M have been in a payment dispute since early 2019. Solid says they have not been paid $2.3 million for work done on the power station. B&M says Solid failed to complete the scope of work they were hired to do.

A chemical clean, performed by Solid, did not get the desired result. Solid says they followed B&M’s instruction on the job.

As the dispute drags on, Solid says they have been unable to pay their 64 subcontractors on the project. They are owed a combined $1.8 million.

This includes Swift Current-based septic company, Liquid Assets. Owner Ronald Kissick says he did about $90,000 worth of work on Chinook between November and January.

“It’s just hit a wall — court is not a cure. It’s just a way of postponing things and it’s inevitable that we will have to get paid, but if there’s no company to send the cheque to, who does the cheque go to?” Kissick said.

Kissick says he’s been working 14 to 16 hour days in order to pay bills associated with leasing equipment and other expenses from the Chinook job. In a prior interview, he said if other Swift Current companies weren’t helping him out Liquid Assets likely would have folded in March.

There are rumours around Swift Current of other Chinook contractors facing bankruptcy, according to Kissick.

Keep reading and watch the news video on Global News