Julius Berger Joins RCC To Suspend Reconstruction of Lagos-Ibadan Expressway Over N8.9billion Debt

The reconstruction of the Lagos-Ibadan Expressway has completely come to a halt as Julius Berger has joined the Reynolds Construction Company Nigeria Limited, RCC the other construction company handling the second half of the road in suspending work until they are paid outstanding funds for work done.

In case you missed it, RCC had halted work over a N8.94 billion debt.

Minister of Power, Works and Housing, Babatunde Fashola, in a statement on Sunday, said that Julus Berger has also given notice of suspension of work on the site.

The minister said the contractors complained that the delays in the payment of agreed contract fees were slowing down work on the site.

Fashola said he received a similar letter to the one sent by RCC from Julius Berger on June 5, 2017

According to the statement, the Julius Berger letter stated;

“It has become evident that the required adequate funding for the continuation of the project is not available.

We trust that you will understand that, therefore, and as a consequence of the unacceptable financial risk to Julius Berger Nigeria Plc, we are left with no choice than to immediately commence suspension of the works on the project, as earlier notified.”

Fashola said the letter was co-signed by the Division Manager, Julius Berger, Mr. W. Loesser; and the Commercial Division Manager, Mr. T. Meletschus.

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