FG

FG Terminates Benin - Sapele - Warri Road Contract.

The Federal Government of Nigeria has terminated the contract for the reconstruction of the Benin-Sapele-Warri Road (Section 1: Benin-Imasabor) due to non-performance by the contractor, Levant Construction Ltd. Minister of Works, David Umahi, announced the termination after a meeting with the chief executives of GELD Construction Ltd and SKECC Nigeria Ltd in Abuja.

By Rhalialt Arhuoizah 

Reasons for Termination:

- Non-performance: Levant Construction Ltd failed to meet expectations despite repeated warnings and a final termination notice.
- Abandonment of site: The contractor abandoned the site, leaving critical areas unattended.
- Failure to remobilize: Levant didn't respond to the termination notice, prompting the ministry to direct the Permanent Secretary to finalize the contract termination

Next Steps:

- Joint measurement: A joint measurement will be conducted to assess completed works.
- Repayment of Advance Payment Guarantee (APG): The ministry will request Levant's bank to initiate repayment of the APG, with potential escalation to the Economic and Financial Crimes Commission (EFCC) if not complied with.

Other Contractors' Progress:

- GELD Construction Ltd: Agreed to resume work on their section after a project review.
- SKECC Nigeria Ltd: Will remedy the one kilometer of milled asphalt despite exhausting their NNPC budget allocation.

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