UMAHI THREATENS TO TERMINATE RCC CONTRACT FOR LAGOS-IBADAN EXPRESSWAY

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Minister of Works David Umahi has issued a stern ultimatum to Reynolds Construction Company (RCC), demanding that they mobilize to the site of the Lagos-Ibadan Expressway within seven days or face termination of their contract. This announcement came during Umahi’s inspection of the Lagos-Calabar coastal road, which is currently dealing with refuse disposal issues.

Umahi expressed his frustration over the delays caused by ongoing negotiations between RCC and the ministry. He emphasized, “After seven days from this date, if they don’t mobilise to site, we will give them a Letter of Termination.” He noted that while Julius Berger Plc has successfully completed Section 1 of the expressway, RCC has failed to finish approximately three kilometers of the Ibadan-bound section.

Contractual Negotiations and Broader Context

The minister insisted that negotiations regarding the project’s costs must adhere to a strict timeframe. “If I give at his cost, do I have the ability to pay? If I don’t, and the contractor is not ready to take what others are taking, then we will have no other choice than to terminate the contract,” he remarked.

Umahi also highlighted the extensive delays faced on other road construction projects, such as the Oyo-Ogbomoso road, which has lingered for 18 years.

Additionally, he announced plans to reconstruct the deteriorating sections of the Lagos-Abeokuta Expressway with concrete pavement and assured that the ongoing Lagos-Calabar Coastal Highway project would be completed by May next year.

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