VIENNA, April 28 (Reuters) - Austrian machine builder Andritz has reached an amicable settlement over its pulp mill in Uruguay, it said on Tuesday, adding the accord will not have a material effect on its earnings this year.
Last year, Andritz completed the Montes del Plata pulp mill in Uruguay which had been beset by cost overruns. Andritz had sought 200 million euros ($219 million) from a joint venture owned by Norwegian Stora Enso and Arauco over the Uruguay project.
Stora Enso said on Tuesday that the settlement resulted in a $44 million cash payment to be made by Montes del Plata of which its share is half. ($1 = 0.9120 euros) (Reporting By Shadia Nasralla; Editing by Michael Shields)