FG Cancels ₦35bn Benin-Sapele-Warri Road Deal Over Contractor’s Failure

By Peter Onyekachukwu

The Federal Government has revoked the ₦35 billion contract awarded to Levant Construction Ltd for Section 1 (Benin-Imasabor) of the Benin-Sapele-Warri highway project over what it described as “gross underperformance,” drawing a fresh line in the sand for contractors failing to meet expectations on critical infrastructure.

Minister of Works, Senator David Umahi, made this known during a meeting in Abuja with top officials of GELD Construction Ltd and SKECC Nigeria Ltd two firms currently handling other parts of the same highway project. Umahi said Levant Construction not only failed to mobilise adequately but ignored multiple warnings and an official termination notice which gave the firm 14 days to return to site.

“They abandoned the project despite all our interventions, including pleading with the Edo State Government to patch up the worst portions,” Umahi said. “We divided that segment so Levant could focus on a portion. But after several warnings and the final notice, they still didn’t return to site.”

He instructed the Ministry’s Permanent Secretary to begin the formal process of contract termination and also initiate steps to recover the Advance Payment Guarantee (APG) from the firm’s bank. He warned that the Economic and Financial Crimes Commission (EFCC) would be brought in if the contractor fails to refund unearned funds.

The Benin-Sapele-Warri Road is a key artery connecting Delta and Edo States—both vital hubs for commerce, oil logistics and agricultural distribution in southern Nigeria. The project’s delays have worsened travel for millions of commuters and disrupted the movement of goods between the South-South and other regions.

While terminating Levant’s contract, the Minister acknowledged the proactive role of state governments. “Governor Sheriff Oborevwori of Delta is doing exceptional work three flyovers at once, and now he’s taken up 10 kilometres of this same road using reinforced concrete,” Umahi said. “Senator Monday Okpebholo in Edo State is also intervening. This level of state collaboration is commendable.”

Umahi’s comments reflect a growing push by the Tinubu administration to ensure that contractors deliver on time and in full particularly on federal roads that directly affect national productivity.

With the FG now seeking new hands to handle the revoked section, Nigerians can only hope that this intervention accelerates one of the region’s most anticipated infrastructure upgrades.