FG terminates contracts with three firms for non-performance

The Federal Ministry of Works has terminated contracts with three companies – Mothercat Ltd, Dantata & Sawoe Construction Ltd, and RCC Ltd – due to non-performance on the dualization of the Obajana-Benin road project.

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.”

This move is seen as a bold step by the Renewed Hope administration to address the country’s infrastructure challenges.

“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; Contract No. 6138 with RCC Ltd for the dualization of Obajana-Benin road, section IV (Ehor-Benin) in Edo State.

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