Sanli Environmental Limited announced that its wholly owned subsidiary, Sanli M&E Engineering Pte. Ltd., received a letter on Dec, 31 2025 from a major customer indicating an intention to impose liquidated damages for delays in completing certain phases of a project secured during the COVID-19 period.

The subsidiary has filed applications for extensions of time that are still under review by the customer. Until those applications are determined, the company said it cannot assess any potential financial impact on the group.

Sanli Environmental added that seeking and evaluating extension-of-time requests is part of the normal contractual administration process for such projects. The company said it will issue further updates when there are material developments and advised shareholders and investors to exercise caution when dealing in its shares.