There's speculation there might be a settlement in the works for the City of Ottawa's light rail lawsuit with Siemens.

Siemens originally won the contract to design, build, and operate the proposed 30-kilometre north-south light rail line that would have linked the University of Ottawa to Barrhaven.

The company filed a lawsuit against the City of Ottawa when the project was cancelled after the 2006 municipal election. The city was originally sued for $217 million.

Now, there's speculation a possible settlement could cost taxpayers $30 million.

City lawyers and Siemens will now try to hammer out a deal. Those talks are expected to extend over the summer.