ABUJA, NIGERIA — June 19, 2025 | By IDNN Governance Desk
The Federal Government has terminated the contract awarded to Levant Construction Ltd for the reconstruction of Section 1 (Benin–Imasabor) of the Benin–Sapele–Warri Road, citing gross abandonment and failure to meet performance benchmarks.
The termination, signed off by the Minister of Works, Senator David Umahi, follows months of back-and-forth warnings, which the contractor failed to act on.
“Levant has not lived up to expectations. They vacated the site while others progressed,” Umahi said.
The project was being executed under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme, a key component of President Tinubu’s infrastructure finance model.
FG INTERVENTION & STATE PARTNERSHIPS
Due to Levant’s withdrawal, the FG had to call in Edo State Government to repair a 23km stretch valued at ₦35 billion. Umahi confirmed that Edo’s intervention is progressing well, unlike Levant’s section.
Other contractors—SKECC Nigeria Ltd and Geld Construction Ltd—have committed to continuing their respective segments, with Geld agreeing to a price review reflecting the increase in asphalt costs from ₦9,000 to ₦30,000 per square metre.
FINANCIAL IMPLICATIONS AND EFCC INVOLVEMENT
Umahi has instructed the Permanent Secretary of the Ministry to:
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Finalize the termination
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Conduct joint measurements with Levant
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Alert Levant’s bank to recover the Advance Payment Guarantee (APG)
He warned that failure to comply may result in the matter being referred to the EFCC for recovery action.
“Any contractor who abandons public infrastructure after collecting mobilization must face financial recovery,” Umahi said.
BROADER IMPACT
The Benin–Sapele–Warri corridor is a critical economic route linking southern Nigeria’s oil-producing regions with the national grid. Chronic abandonment has triggered protests and accidents.
“This isn’t just about poor performance—it’s about endangering lives and slowing commerce,” a senior official said.
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