30 Sep 2024

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Confidence Biebara

Countdown Begins for 3 Days NLNG, Macobarb Legal Showdown in October Over N5Bn Contract Breach

The Nigeria Liqeufied Natural Gas Limited (NLNG) and one of its indigenous contractors, Macobarb International have got three full days in October 2024 to prosecute their legal duel.

The legal tussle is over a N5 Billion claim arising from an alleged contract breach by the NLNG as alleged by Macobarb.

The presiding judge in suit number: PHC/2013/CS/2022, Justice Chinwendu Nwogu gave this order even he frowned at incessant requests for adjournment by both parties.

The claim was brought by Macobarb against the NLNG over a contract which went sour; now, both companies have October 16, 21 and 29, 2024 to prosecute the duel.

For two years since the case went to court there have multiple requests for amendments by legal team of both the claimant and the respondent.

The case had also seen Macobarb changing their lawyers many times over with reasons not mentioned in court though outside the court, everyone seems to know why.

Justice Nwogu on Monday, September 30, 2024, accepted to grant Macobarb’s request for further amendments and gave October 16, 2024 to move a motion confirming that all amendments have been done.

This would set the stage for justifying the claims on October 21 and 29.

Justice Nwaogu however frowned at incessant adjournments and in his ruling and ordered that any further adjournment other than the hearing date in October, the case would be dismissed.

Macobarb International Limited, an indigenous contractor had dragged the NLNG to court claiming over N1 billion, now amended to N5.073 Billion, for alleged breaches to a contract (B130142PPI, Access Control) in the Industrial Area of the NLNG gas liquefaction plant with three years’ duration.

The suit said the contract provided that Macobarb be paid bit by bit progressively based on the value of verified work done.

Macobarb in its claims said the contract also forbade delay of any kind in the project and provided for penalty on whoever caused the delay. It also provided for alert system should anything want to cause a delay.

Macobarb said it activated the alert clauses when payment delays began to happen but that nothing was done to rectify the delays until the contract was terminated.

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