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FG terminates Benin–Warri road contract over abandonment

FG terminates Benin–Warri road contract over abandonment

The Federal Government has terminated the contract awarded to Levant Construction Limited for the reconstruction of the Benin–Sapele–Warri highway, citing the contractor’s failure to execute the project.

Minister of Works, David Umahi, announced the decision on Tuesday in Abuja after meeting with contractors under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme. He accused Levant of abandoning its section of the highway despite repeated warnings and a final termination notice.

“Despite multiple appeals and interventions, Levant refused to return to site. The Edo State Government even stepped in to fix a 23-kilometre stretch for ₦35 billion, while Levant did nothing. We had no choice but to terminate the contract,” Umahi stated.

A statement from the minister’s media aide, Orji Uchenna, confirmed that Umahi directed the Permanent Secretary to initiate formal termination procedures, assess completed work, and engage the contractor’s bank for recovery of the Advance Payment Guarantee. Umahi warned that companies failing to refund public funds could face prosecution by the Economic and Financial Crimes Commission.

In contrast, the minister commended Geld Construction and SKECC for demonstrating readiness to resume work after renegotiating contract terms, especially in response to rising material costs.

“The price of asphalt alone has jumped from ₦9,000 to ₦30,000 per square metre. We’ve approved revisions to accommodate this inflation,” Umahi said, citing similar adjustments on the Lokoja–Abuja and Itoki–Ikorodu roads.

He also praised the efforts of Governors Sheriff Oborevwori (Delta) and Monday Okpebholo (Edo) for stepping in to repair critical portions of federal roads in their states.

“These governors have shown commendable leadership by intervening where needed. Their proactive support is helping us bridge funding and logistics gaps,” Umahi noted.

Responding to accusations of regional bias in road project allocations, Umahi dismissed the claims as “malicious and unfounded,” stressing that projects were based on need, not geography.

“This administration allocates projects fairly. For instance, Niger State alone accounts for 26% of the NNPC Tax Credit Scheme, while the South-West and South-East together receive less than 9%,” he explained.

He also listed key Northern infrastructure projects, including: Abuja–Kaduna–Zaria–Kano road (₦252bn for Sections I and III; Section II estimated at ₦525bn)

Sokoto–Zamfara–Katsina–Kaduna highway (750km, ₦825bn)

Bama and Dikwa roads in Borno (under Dangote’s Tax Credit Scheme)

Kebbi dual carriageway (₦958bn for one lane, with a second pending approval)

A 439km Akwanga–Jos–Bauchi–Gombe highway to be upgraded to six lanes

According to Umahi, 52% of President Bola Tinubu’s Renewed Hope legacy road projects are located in the North, with the South receiving 48%.

On the Lagos–Calabar Coastal Highway, Umahi dismissed claims of lopsided investment.

“The Kebbi project alone costs ₦958 billion for one lane. When the second is approved, it may hit nearly ₦2 trillion—comparable to the Lagos–Calabar project,” he said.

Addressing the pace of work on the Eleme–Onne axis of the East–West Road, Umahi noted that contractor RCC has ramped up progress, with recent asphalt works aimed at improving traffic flow around flyovers.

“One carriageway is completed. Additional asphalt is being laid only in flyover areas to ease movement,” he clarified.

Umahi reaffirmed the administration’s commitment to nationwide infrastructure development.

“President Tinubu is investing more in roads than any administration I’ve seen. This is a new era for Nigerian infrastructure, and the people will feel the impact,” he said.

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