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FG terminates ₦740bn Abuja-Kaduna road contract with Julius Berger

The Federal Government has officially terminated the ₦740 billion contract for the rehabilitation of the Abuja-Kaduna dual carriageway with Julius Berger Nigeria Plc, citing non-performance as the primary reason.
Dave Umahi, Nigeria's Minister of Works.
Dave Umahi, Nigeria's Minister of Works.

The Federal Government has officially terminated the ₦740 billion contract for the rehabilitation of the Abuja-Kaduna dual carriageway with Julius Berger Nigeria Plc, citing non-performance as the primary reason.

This decision follows a seven-day ultimatum issued by Minister of Works David Umahi, demanding the company's acceptance of the government’s offer for the completion of the 82-kilometre section II of the road.

Umahi expressed his frustration over the contractor's lack of progress, stating, “This delay is causing significant hardship for road users, and the Federal Government is negatively impacted by the situation.”

READ ALSO: I've achieved 85% improvement in road projects nationwide - Umahi reacts

The Minister's comments highlight the ongoing challenges faced by motorists using the route, which has only seen 27 percent completion over the past six years.

According to a statement from Mohammed Ahmed, the Director of Press and Public Relations at the Federal Ministry of Works, the termination was enacted after the company failed to comply with directives to remobilise to the site.

READ ALSO: I've achieved 85% improvement in road projects nationwide - Umahi reacts

The statement noted, “Based on non-compliance with reviewed cost, scope and terms, stoppage of work, and refusal to remobilise to site... the Federal Ministry of Works has issued a 14-day Notice of Termination.”

Despite progress on other sections of the road—such as the Kaduna-Zaria section, which has been completed—the Abuja-Kaduna section has languished in delays.

Umahi previously accused Julius Berger of politicising the project to undermine the current administration, indicating deeper tensions surrounding the road’s rehabilitation.

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