FG Revokes Levant Construction’s Contract on Warri-Sapele Road for Lack of Diligence
The Federal Government has revoked the contract for the reconstruction of Section 1 (Benin-Imasabor) of the Benin-Sapele-Warri Road, which was awarded to Levant Construction Ltd.
The decision was announced by the Minister of Works, Engr. David Umahi, during a briefing after a meeting with the Chief Executives of GELD Construction Ltd and SKECC Nigeria Ltd.
According to Umahi, the contract was revoked due to the company’s failure to live up to expectations in their contractual duties.
Despite several warning letters and a termination notice, Levant Construction Ltd failed to remobilize to the site and resume work.
Umahi expressed dismay over the company’s non-performance, stating that they had to intervene and beg the Governor of Edo State to intervene in the worst sections of the road.
The Governor of Edo State subsequently intervened, awarding a contract for 23 kilometers of the road at a cost of N35 billion, which is currently ongoing.
The Minister directed the Permanent Secretary to terminate the contract with Levant Construction Ltd and write to their bank to request repayment of the Advance Payment Guarantee (APG).
He also vowed to involve the Economic and Financial Crimes Commission (EFCC) if the company fails to comply with the demand to make the necessary refunds to government coffers.
In a related development, Umahi expressed satisfaction with the outcome of discussions with SKECC Nigeria Ltd and GELD Construction Ltd over the need for them to step up work on the respective sections of the road project being handled by them.
The Minister commended the Governors of Delta and Edo States, Sheriff Oborevwori and Sen. Monday Okpebholo, for their interventions on some kilometers of the road project. He particularly praised the Governor of Delta State for his intervention in the construction of three flyovers, which he described as “beautiful flyovers” that the country needs.
Umahi appealed to the Governor of Delta State to extend his intervention to include the construction of 10 kilometers of the road with reinforced concrete, which the Governor has accepted to do.
The revocation of the contract with Levant Construction Ltd is seen as a significant step towards ensuring that the Benin-Sapele-Warri Road project is completed on time and to the required standard.
The Federal Government has reiterated its commitment to delivering quality infrastructure projects across the country, and the Minister of Works has vowed to take decisive action against any company that fails to meet its contractual obligations.
