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FG Cancels Three Contracts Due to Incomplete Obajana-Benin Road

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Ongoing Projects Require Extra Funding – Umahi 

The Federal Ministry of Works has cancelled contracts with three companies—Mothercat Ltd., Dantata & Sawoe Construction Ltd., and RCC Ltd.—due to their failure to deliver on the Obajana-Benin road dualization project.

News About Nigeria reports that the ministry said it took this decision after the companies failed to meet their contractual obligations, despite being given sufficient time to do so.

Umahi said the dualization project, which aims to upgrade the road from a single carriageway to a dual carriageway, has been plagued by delays and setbacks.

The termination of the contracts is a significant development in the project, which is expected to improve road safety and reduce travel time between Obajana and Benin.

The ministry will likely re-award the contracts to new companies, paving the way for the project’s completion.

According to a statement on Monday by the Special Adviser (Media) to the Minister of Works, Orji Uchenna, the termination was necessary due to the inordinate delay and failure of the companies to fulfil their contractual obligations.

The minister, David Umahi, directed engineers to take over the sites and measure the work done to facilitate the takeover from the companies.

He noted that the contracts, worth billions of naira, were awarded in 2012 but were abandoned by the contractors, leaving road users to suffer due to the deplorable condition of the road.

The Minister warned that the government will not tolerate acts of unseriousness and sabotage by contractors, stating that “going forward, all funded but non-performing contracts shall be terminated.”

“We will not condone any act that will hinder our progress. We are determined to change the narrative of Nigeria’s road infrastructure,” Umahi said.

The terminated contracts include Contract No. 6136 with Mothercat Ltd for the dualization of Obajana-Benin road, section II (Okene-Auchi) in Kogi/Edo State; Contract No. 6137 with Dantata & Sawoe Construction Ltd for the dualization of Obajana-Benin road, section III (Auchi-Ehor) in Edo State; and Contract No. 6138 with RCC Ltd for the dualization of Obajana-Benin road, section IV (Ehor-Benin) in Edo State.