Federal Govt Terminates Odukpani-Itu Road Contract Over Poor Performance

Minister of Works David Umahi has terminated the contract of the Calabar-Odukpani-Itu Road being handled by Messrs Raycon and Company (Nigeria) Limited.

He gave the notice during an inspection of the road which includes a spur to Ididep Itam and Ikot Ekpene.

A statement by the director of Press, Ministry of Works, Mohammed Ahmed,  expressed concern over the slow progress by one of the contractors, Messrs Raycon and Company (Nigeria) Limited, on a 9.7-kilometre section.

According to him, the contractor’s claim of not receiving mobilisation funds was rejected, with the minister reminding him that the Ministry’s policy requires contractors to report to the site and achieve a reasonable level of work certified before mobilisation funds are released.

“Based on this, the Minister announced the contract’s termination and directed the Federal Controller of Works in Akwa Ibom to issue a stop-work order,”.

The minister also instructed a detailed assessment of the work completed to facilitate payment.

Furthermore, he ordered Messrs Hitech Africa Construction Company to take over the project on an emergency procurement basis, assuring road users that it would be completed within two months.

The minister also paid a working visit to Sections 3A and 3B of the Lagos-Calabar Coastal Highway in Akwa Ibom and Cross River states on Saturday, December 6, 2025 where Messrs Hitech Africa Construction Company is handling the 71.4-kilometre segment, part of the 750-kilometre highway.

The two projects were flagged off in April, 2025.

Engr. Umahi praised the contractor for maintaining quality standards, utilising advanced equipment, and employing skilled workers.

He also commended them for completing and commissioning Section I, Phase I (Ahmadu Bello Way-Eleko Village) in Lagos State, in June 2025, ahead of schedule, with the ceremony presided over by the President, Ahmed Bola Tinubu.

He urged them to replicate this performance on Sections 3A and 3B, directing that construction should proceed both during the day and at night.

The managing director of the company, Mr. Dany Aboud, expressed gratitude to the president for the opportunity and assured the minister that they would work day and night, deploying more personnel and resources. He pledged that construction on both segments would be completed within the 36-month contract period.