Tensions Rise As FG Awaits Judgment In High-Stakes Mambilla Project Trial

Former Presidents Olusegun Obasanjo and Muhammadu Buhari have defended Nigeria in a $2.3 billion arbitration case filed by Sunrise Power at the International Chamber of Commerce (ICC) in Paris.

The dispute centers on allegations of a breached contract for the Mambilla Hydroelectric Power Project, a proposed 3,050 MW facility. Sunrise Power claims it was awarded a $6 billion build-operate-transfer contract for the project in 2003 under Obasanjo’s administration and is demanding $2.3 billion in compensation for financial and legal consultancy costs.

Presidents Dispute Contract Validity

During the January 18–23 hearing, both former leaders denied the existence of a valid contract between Nigeria and Sunrise Power.

Former President Olusegun Obasanjo testified on January 24, challenging the legitimacy of the purported 2003 agreement. In a 2023 interview, he had criticized his former Minister of Power, Olu Agunloye, for allegedly awarding the contract in defiance of Federal Executive Council (FEC) decisions.

Similarly, Muhammadu Buhari testified on January 25, denying any authorization of a 2020 settlement agreement with Sunrise.

A source close to the proceedings revealed that the testimonies from Obasanjo and Buhari strengthened Nigeria’s defense. “Their commitment to safeguarding the nation’s interest was clear,” the source noted, adding that the former presidents exposed Sunrise’s claims as fraudulent.

The source further emphasized that Obasanjo and Buhari’s testimonies helped uncover Sunrise’s alleged deceitful attempt to secure $660,000 in an initial settlement for a contract that lacked valid approval.

Legal Setbacks for Sunrise Power

The case took a negative turn for Sunrise Power due to its failure to present key witnesses, including former Minister of Power Olu Agunloye and a Senegalese consultant. Instead, the company relied heavily on a witness statement by former Attorney General Abubakar Malami, who ultimately supported Buhari’s stance.

It was established during the proceedings that the 2003 agreement, which Sunrise Power’s claims were based on, lacked legal approval. The government’s international legal team expressed confidence in Nigeria’s defense, describing Sunrise’s claims as baseless and an attempt to exploit fraudulent grounds for financial gain.