NLNG Train 7 Shutdown: Daewoo Moves to Resolve Workers’ Tax Dispute

NLNG Train 7 Shutdown: Daewoo Moves to Resolve Workers’ Tax Dispute

The management of Daewoo Engineering and Construction Nigeria (DECN), one of the contractors handling the multi-billion-dollar NLNG Train 7 project, says it has begun engagements with its workers and their unions to resolve the industrial dispute that forced a temporary shutdown of operations.

Last week, welders and fitters under the umbrella of the National Association of Plant Operators (NAPO) downed tools, accusing the company of alleged tax irregularities. The aggrieved workers demanded that the firm provide them with their tax receipts and tax identification numbers (TINs), insisting that deductions had been made from their salaries without proper documentation.

In a statement issued in Port Harcourt on Monday, DECN denied any involvement in tax fraud, stressing that the company was transparent in its dealings. It explained that tax receipts do not originate from employers but are issued directly by the Rivers State Internal Revenue Service (RIRS).

“No incident of fraud has been associated with Daewoo Engineering and Construction Nigeria. We have always complied with relevant tax laws.

The receipts being demanded by employees are not issued by companies but by the Rivers State Internal Revenue Service,” the statement read.

The company assured stakeholders and host communities that it was working closely with the unions to resolve the matter swiftly and restore activities at the NLNG Train 7 site, located in Bonny Island, Rivers State.

The NLNG Train 7 project, which is expected to boost Nigeria’s liquefied natural gas production capacity by 35 percent upon completion, has been described as critical to the country’s energy and economic growth. Any prolonged disruption could have implications for project timelines and Nigeria’s commitments to global gas supply.

DECN reaffirmed its commitment to dialogue and industrial harmony, while urging workers to return to the negotiation table to avoid further disruptions.