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Ajaokuta Steel: How FG settled $5.3bn Contract dispute with foreign firm – Malami

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The Federal Government of Nigeria has settled the long-standing contractual dispute with a foreign investor group in the steel space of $5.258 billion for $496m, Attorney General of the Federation and Minister of Justice, Abubakar Malami, SAN has said.

This was made known by Dr. Umar Jibrilu Gwandu, Special Assistant on Media and Public Relations Office of the Attorney General of the federation and Minister of Justice, in a statement made available to newsmen on Sunday.

The mediation proceedings, according to the statement, was under the International Chamber of Commerce’s (ICC) Alternative Dispute Resolution (ADR) framework led by Mr Phillip Howell-Richardson. The settlement agreement came into effect on 19 August 2022.

Nigeria succeeded in reducing the claim in mediation brought by the international firm of King and Spalding, legal representatives of the Global group, by 91%. A claim for over $10 billion was threatened in arbitration before the International Chamber of Commerce, International Court of Arbitration, Paris, in respect of five major contracts of 2004-2007 – covering steel, iron ore, and rail.

It might be recalled that the seeds of the disputes can be traced to five contracts entered into by the 1999 -2007 administration that gave complete dominance over the Nigerian steel space to one company group, the Global Steel group.

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However, in 2008 a new administration proceeded to terminate these contracts contrary to legal advice supplied by the Federal Ministry of Justice, which cited the termination cost in the form of damages.

The statement noted that had the government of that day not terminated the Ajaokuta Share Purchase Agreement on 1 April 2008 and waited for just 55 days to terminate, it would have terminated lawfully and the Government would have collected more than 26 million USD from Global Steel.

This was because the firm appeared unable to pay the first tranche for the Ajaokuta shares before the first anniversary of the agreement (25 May 2008). This failure would have given Nigeria a right to over $26m as liquidated damages under cl.12 of the Ajaokuta Share Purchase Agreement.

Global steel, in consequence, took the FGN to the International Chamber of Commerce, International Court of Arbitration, Paris, commencing arbitration in 2008. Although the Federal Government negotiated a settlement in May 2013, the previous administration failed to implement its settlement agreement.

In May 2020, Global threatened a resumption of the arbitration and announced an anticipated claim in damages of over $10-14 billion against the Nigerian State in respect of the affected 5 contracts.

The administration of President Muhammadu Buhari, however, took decisive steps to resist this claim, rather than pass it on to a future administration with ballooning interest.

With this development, Malami said President Muhammadu Buhari has now rescued the steel industry from interminable and complex disputes as well as saving the taxpayer from humongous damages.

The Minister also stated that one of the lessons to be learnt included that the future arrangements – sale or concessions – must be carried out in the national interest and in compliance with the law.

The Office of the Attorney General of the Federation and Minister of Justice grappled with the inherited problem by adopting a blueprint of seven principles for the cost-effective resolution of contractual disputes wherever they occur. They are the use of institutional mediation, choice of FGN counsel, the use of financial advisers with reputational capital, the importance of not discouraging foreign investment, fiscal responsibility, transparency, and the recognition that joined-up government produces superior outcomes.

The FGN engaged PwCNigeria to do a comprehensive review to ensure taxpayers are protected. Also, Dr Tunde Ogowewo, a barrister (and senior academic at King’s College London), represented the FGN and advised the government throughout the process. The Attorney-General of the Federation and Minister of Justice, Abubakar Malami stated of Dr Ogowewo’s report:
“FGN Counsel’s Report on Case Reference 15539/VRO/AGF/ZF/TO/AZR/SPN)_ – of over 1,000 pages provided a guide on how to avoid such contractual disputes and, where they occur, how to reach cost-effective savings for the benefit of the Nigerian taxpayer.”

Malami, therefore, reiterated the commitment of President Muhammadu Buhari-led Federal Government of standing firm to continue to make assiduous efforts in protecting the public interest and ensuring that Nigeria is not denuded of its resources through whatever means.

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2027: ‘Tinubu not tired’ – Yilwatda fires back at Obi’s resignation call

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S’Court didn’t deliver judgment in Obi’s case against Tinubu -LP
President Bola Tinubu and Mr Peter Obi
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National Chairman of the All Progressives Congress (APC), Nentawe Yilwatda, has dismissed Labour Party presidential candidate Peter Obi’s suggestion that President Bola Tinubu is “tired” and should step aside ahead of the 2027 elections.

The national chairman, who appeared on Channels Television’s Politics Today on Tuesday, questioned the basis for describing the president as exhausted, insisting that Tinubu continues to work tirelessly while delivering key projects across the country.

“Let me put it this way, epecially to Obi, who claimed that Tinubu is tired—is he (Tinubu) going for boxing or 400 metres?” Yilwatda said. “Are you telling me that the President who stays and works from morning till night is tired? These are the issues we are talking about.”

Nentawe Goshwe Yilwatda, APC National Chairman

He argued that millions of Nigerians benefiting from the administration’s policies would not support calls for Tinubu to retire from office.

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“Are you telling me that over a million students and mothers who depend heavily on and celebrate NELFUND would be praying that the President be retired?” he asked.

Yilwatda also pointed to ongoing infrastructure projects, including the Lagos-Calabar Coastal Highway and the development of new seaports in Calabar, Akwa Ibom, Port Harcourt, Ondo and Lagos, as evidence of the administration’s commitment to national development.

“Are you telling me that over a million students and mothers who depend heavily on and celebrate NELFUND would have prayers that the President be retired?” he asked.

Yilwatda also cited several infrastructure projects as evidence that the administration remains focused on delivering its agenda, pointing to the ongoing Lagos-Calabar Coastal Highway as well as new seaport developments across the country.

“Are you telling me that people who have the coastal road from Lagos to Calabar, to Akwa Ibom and Port Harcourt, or the five seaports in Calabar, Akwa Ibom, Port Harcourt, Ondo and Lagos, are those who wish that the President be retired?” he said.

The APC chairman further referenced the ongoing modernization of Nigeria’s aviation sector, saying the extensive airport upgrade projects supervised by the Minister of Aviation reflect a government actively investing in critical infrastructure.

“I am sure you watched the renewal of airports being upgraded by the Minister of Aviation. This and many others, even in the North,” he added.

According to Yilwatda, the administration’s investments in education, transportation, maritime infrastructure and aviation demonstrate that President Tinubu remains fully engaged in governing the country, contrary to claims that he is too tired to continue in office.

Yilwatda’s comments follow remarks of former Anambra State Governor Peter Obi who, in a sit-down interview with Channels TV interview, stated that President Bola Tinubu is “tired” and lacks the capacity to lead Nigeria, calling for him to step aside and retire ahead of the 2027 general election.

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Enugu Govt suspends Obeagu Ugwuaji monarch over alleged land grabbing, communal feud

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Chieftaincy Commissioner, Dr Egumgbe presenting the suspension letter to Igwe Nya
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The Enugu State Government has suspended Igwe Christopher Nyia, the traditional ruler of Obeagu Ugwuaji Autonomous Community in Enugu South Local Government Area, following a prolonged leadership crisis in the community.

Handing over the letter of suspension to the monarch, the state commissioner for chieftaincy matters, Dr. Charles Egumgbe, said an administrative panel of inquiry had been constituted to investigate both the immediate and underlying causes of the crisis, as well as the allegations made against the traditional ruler.

The commissioner said the suspension was approved by Governor Peter Mbah in the interest of peace, public order and good governance.

The government’s action followed events of July 16, 2026, when residents of Obeagu Ugwuaji staged a peaceful protest to the Enugu State Secretariat Complex, the Enugu State House of Assembly and the Ministry of Chieftaincy Affairs, where they demanded the immediate dethronement of the traditional ruler over allegations of land grabbing and financial impropriety.

Obeagu Ugwuaji natives demand dethronement of Monarch

Some natives of Obeagu Ugwuaji community had on Thursday, July 16, 2026 demanded the dethronement of the embattled traditional ruler over alleged land-grabbing and administrative high-handedness.

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The protesters gathered at the front of the Government House, Enugu, to lodge their complaints. They were led by their Town Union President, Chukwunonso Obi.

After making a brief appearance at the Government House, bearing placards with different inscriptions, they thereafter marched to the Enugu State House of Assembly complex and the Ministry of Chieftaincy Affairs.

They were received at the assembly complex by the member representing Nkanu East State Constituency, Honourable Anthony Okoye, who commended them for being peaceful.

Okoye said the House of Assembly has the constitutional mandate to oversee matters relating to local government administration and chieftaincy affairs in the state.

​According to him, “The House of Assembly oversights both the Ministry of Chieftaincy Affairs, including the town union government in all the local governments and localities of the state. We are going to activate the power of our oversight over their complaints.”

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Military intelligence officer Colonel Ude killed after resisting abduction in Abuja

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Bandits kill over 30 in fresh attack on Benue
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• His wife, driver, security guard shot

A serving Nigerian military intelligence officer, Colonel Abdussalam A. Ude, was shot dead after putting up fierce resistance against armed assailants who attempted to abduct him at his residence in the Kurudu District of Abuja, according to PRNigeria.

The officer, from Enugu State, was regarded as a dedicated professional due for promotion to the rank of Brigadier General next year.

PRNigeria reports that the attackers ambushed the senior officer shortly after he arrived at his home, opening fire as he alighted from his vehicle on Monday evening.

The gunmen attempted to abduct the officer, but he fought back despite being heavily outnumbered, refusing to surrender to his attackers.

His resistance, security sources said, prevented the assailants from taking him away alive, although they subsequently shot him multiple times at close range.

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During the attack, the gunmen also opened fire on members of his household, leaving his wife, driver, and security guard with varying degrees of gunshot injuries.

The victims were rushed to hospital, where they are receiving treatment.

Security sources described Colonel Ude as a courageous and highly respected intelligence officer who remained composed even in the face of imminent danger.

One source familiar with the preliminary investigation said: “He resisted them.

“From what investigators have gathered, they wanted to take him away, but he fought back.

“Unfortunately, he paid the ultimate price.”

The circumstances surrounding the attack remain under investigation, while security agencies have launched efforts to identify and apprehend the perpetrators.

Before his death, Colonel Ude served in several strategic military intelligence and counter-terrorism appointments within the Armed Forces of Nigeria.

He participated in numerous operations against insurgents in Nigeria’s North East and was deployed on specialised international assignments, including missions in the Republic of Chad and France, where he contributed to intelligence and security cooperation efforts.

His burial was scheduled to take place in Mambilla Mosque in Abuja on Tuesday in accordance with Islamic rites.

The killing has once again raised concerns over attacks targeting serving and retired military personnel, particularly within the Federal Capital Territory.

The incident recalls the killing of retired Brigadier General Uwem Harold Udokwere, who was murdered on June 22, 2024 after armed men invaded his residence at Sunshine Homes Estate in the Lokogoma area of Abuja.

Udokwere was reportedly stabbed to death while attempting to defend his family before the attackers escaped with his firearm and other valuables.

Security experts say the latest attack is likely to intensify calls for enhanced security measures for serving and retired military officers, especially those who have held sensitive operational and intelligence appointments.

Investigations into Colonel Ude’s killing are ongoing, with security agencies working to determine the motive behind the attack and bring those responsible to justice.

PRNigeria

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