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The phrase "about that situation" is correct and usable in written English.
It can be used when referring to a specific issue or circumstance that has been previously mentioned or discussed.
Example: "I wanted to talk to you about that situation we discussed last week regarding the project delays."
Alternatives: "regarding that matter" or "concerning that issue".
Exact(58)
My attempts to bring about that situation shocked my peers – both women and men.
What can you tell us about that situation?
"I don't know about that situation," he said.
I was never nervous about that situation, though, until the premiere of "Storage Wars" in 2010.
"Already we spoke about that situation and we sell nobody in January.
It's understandable that something about that situation seems unhealthy or unnatural.
"I just cannot divulge any information about that situation right now," he said.
It's behind and it's not any more interesting to talk about that situation.
The film gives Sarah a massive chip on her shoulder about that situation.
Similar(2)
It's a we'll-see-about-that situation if there ever was one, but at least it shows a modicrum of flexibility.
You may be tempted to 'think about that when the situation arises', but don't.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com