Moscow, Russia – A Russian court has awarded fertiliser producer EuroChem more than 171 billion roubles ($2.19 billion) in a lawsuit against Italian engineering firm Tecnimont and its Russian subsidiary, EuroChem said on Thursday.

EuroChem North-West-2 had initially sought 202.7 billion roubles, claiming Tecnimont and its Russian unit failed to meet obligations to construct a new ammonia and urea production plant in Kingisepp, in Russia's north-western Leningrad region.

"We are satisfied with the court's decision. It is an important step towards restoring justice. The main task today is to complete the construction of the plant and put it into operation," EuroChem North-West-2 said.

Maire Spa, the parent company of Tecnimont, said on Friday it would “vigorously challenge the unlawful actions” of EuroChem NW2, and is seeking damages of more than 700 million euros ($810 million) through judicial authorities and international arbitration.

The contract to build the plant was signed in June 2020, with completion initially set for September 2023. The project was suspended in 2022 due to Western sanctions. EuroChem terminated the contract in August 2022, citing non-performance by the contractors.

The International Court of Arbitration has been reviewing counterclaims between the parties since 2022, as geopolitical tensions have complicated the procurement and delivery of equipment and materials.

($1 = 78.0955 roubles; $1 = 0.8639 euros)