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FG Terminates Five Major Road Contracts Awarded To TEC Engineering, CCECC, Others In Kogi

Vital News by Vital News
November 27, 2025
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FG Terminates Five Major  Road Contracts Awarded To TEC Engineering, CCECC, Others In Kogi
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The Federal Government has terminated at least five major road contracts in Kogi State over what it described as “unacceptable delays, non-performance and excessive time overruns” on critical Federal road projects.

A statement issued after a review meeting presided over by the Minister of Works, David Umahi, at the ministry’s headquarters in Abuja, revealed the Government’s dissatisfaction with the pace of work on the Abuja–Lokoja corridor and other strategic roads in Kogi State.

Umahi warned that the Ministry would no longer tolerate contractors who “collect mobilisation but fail to deliver.”

He noted that some projects had recorded less than five per cent completion despite exceeding 120 per cent of their contract timelines.

“These delays are unacceptable. Nigerians are suffering on these roads, and we cannot continue to indulge contractors who have clearly failed to meet obligations,” Umahi said during the closed-door meeting.

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The Abuja–Lokoja highway, a 179km dual carriageway linking the FCT to the southern region, has been under construction for more than 15 years, drawing repeated public complaints over gridlock, deteriorated sections and accidents.

The Ministry highlighted several projects with “alarmingly low” progress despite extensive time overruns, prompting sweeping directives, including multiple contract terminations.

One of the affected projects is the Culverts and Drains on the Abuja–Lokoja Road (Section 2), Contract No. 8493, handled by Sadogi Nigeria Ltd. Awarded on April 4, 2024, the project stands at 39.04 per cent completion, while 112.88 per cent of the contract time has elapsed.

Umahi ordered an immediate mutual termination, directing the contractor to “operate strictly within the already-paid advance,” with final account determination to commence immediately.

Another affected project is the Abuja–Lokoja Section 4A Rehabilitation, Contract No. 8476, executed by Venus Construction Nigeria Ltd. Awarded on July 13, 2024, the contractor has achieved only 33.79 per cent progress, despite using 131.15 per cent of the allocated time.

The government has ordered a mutual termination, with work restricted to the advance earlier received pending reconciliation.

On the Abuja–Lokoja Section IVB (Flooded Corridor) handled by Sailthrough Engineering Services Ltd, the Minister stopped short of termination but issued a firm deadline.

“The company must complete the project on or before December 20, 2025, having committed to the new date “despite outstanding Government payments,” he said.

The Ministry also announced action on the Okene–Ajaokuta–Itobe Road Reconstruction, Contract No. 7648, handled by CCECC Nigeria Ltd. awarded on November 18, 2022, the project has recorded just 2.02 per cent completion, while 146.92 per cent of the contract time has expired.

Umahi ordered mutual termination, directing the contractor to work only within the already-received advance, while the supervising consultancy services are to be terminated due to inadequate funding.

Similarly, the Lokoja–Shintaku–Dekina–Ayingba Road, Contract No. 7239, awarded to TEC Engineering Company Nigeria Ltd on February 3, 2022, has achieved only 1.04 per cent completion despite a 188.77 per cent time overrun.

The Minister ordered a mutual termination, limiting further work to the advance earlier disbursed.

The supervising consultancy has also been terminated.

For the Abaji–Koton Karfe dualisation (Section III), handled by Geld/Triacta Nigeria Ltd JV and currently at 16.71 per cent completion after exceeding 125 per cent of its timeline, Umahi issued a strict ultimatum: “You have seven days to return to site, repair failed portions and ensure free traffic flow. Any further delay will attract sanctions.”

In contrast, Umahi commended JRB Construction Nigeria Ltd for steady progress on Section 1 of the Abuja–Lokoja Road and directed completion by December 10, 2025.

The rehabilitation of the Koton Karfe–Abaji concrete road (47.86km) by Trucrete Solutions Ltd, now at 40 per cent completion with 58.33 per cent of the project time elapsed, was described as “progressing steadily” and on schedule.

Umahi directed that all outstanding works, including those from the terminated contracts, be compiled for immediate emergency intervention under a special Federal works programme.

He expressed appreciation to President Bola Tinubu for approving multiple interventions on the corridor, describing the Abuja–Lokoja highway as “a lifeline for Nigeria’s economy” due to its heavy daily traffic linking the North and South.

Appealing for public patience as work intensifies, he added: “I sincerely apologise to all road users for the hardship along the Abuja–Lokoja axis. Multiple projects are ongoing, and we are working round the clock to ensure early completion.”
(vitalnewsngr.com)

Tags: contractsFG terminateKogiroad
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