Nigeria has recently won an international arbitration case, successfully avoiding payments of €185.7 million and N4 billion claimed by the French firm Egis Projects S.A. (formerly known as Fougerolle V Fougerolle).
This case dates back to a 1981 contract for the Ajaokuta Iron and Steel Complex.
The dispute had been dormant since 2004 but was revived in 2022.
It involved allegations of non-payment for infrastructure work at the steel plant.
Attorney General of the Federation and Minister of Justice, Lateef Fagbemi, explained that the claimant, Fougerolle, initiated arbitration on December 12, 2022—nearly 18 years after it terminated the contract on January 30, 2004.
Through the arbitration tribunal, the company sought to compel Nigeria to pay N4 billion and €185 million.
Fagbemi stated, “Contrary to the contract terms and its prior undertakings, Fougerolle petitioned the tribunal to order additional payments of unverified and uncertified amounts totaling N3,846,098,403.00 (Three Billion, Eight Hundred Forty-Six Million, Ninety-Eight Thousand, Four Hundred and Three Naira) and €185,733,496.00 (One Hundred Eighty-Five Million, Seven Hundred Thirty-Three Thousand, Four Hundred Ninety-Six Euros).”
On November 11, 2025, the tribunal ruled in favour of Nigeria, rejecting the claims as unfounded.
Fagbemi hailed the outcome as a testament to the government’s commitment to robust legal defence and the protection of public assets.
He stated, “This victory not only safeguards our national resources but also reinforces confidence in Nigeria’s judicial processes on the global stage.”
This ruling clears a significant hurdle for reviving the long-stalled Ajaokuta project, which has faced delays and corruption issues since the 1970s.
The win supports Nigeria’s economic reforms under President Bola Tinubu, which aim to enhance infrastructure and attract investment in the steel sector.
Administrator and Writer
