– A controversial contract signed under the Goodluck Jonathan administration has been terminated

– The contract has been a subject of controversy in recent weeks after two prominent businessmen began a media war

– President Muhammadu Buhari was said to have heeded the advice of some of his close associates to terminate the contract

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President Muhammadu Buhari has cancelled the Secure Anchorage Area (SAA) contract which is an arrangement established by the Goodluck Jonathan administration.

According to the terms of the contract, vessels berthing in Nigeria pay money to a private company for security inside a ‘Secure Anchorage Area’ within the Nigerian ports.

ThisDay quoted a source in the presidency confirming that the contract handled by Ocean Marine Solutions Limited (OMSL) has been terminated.

Buhari cancels OMSL’s contract initiated under Jonathan's govt

President Buhari has cancelled the OMSL’s contract initiated under the previous administration.
Photo credit: @MBuhari
Source: Twitter

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The source also said the president agreed with long-standing security concerns expressed about the deal by senior officials in his administration.

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The contract, in which OMSL in partnership with the Nigerian Navy, has been providing security services to foreign ships calling at the Apapa and Tin Can Island Ports in Lagos at $2,000 per day at a designated area in the water called the Secured Anchorage Area.

The ownership of the company had also become a subject of controversy between two business moguls in the last few weeks.

The president was said to have caved under pressure to cancel the contract in the face of the public spat by the two businessmen.

The source said:

“The president has directed the Navy to cancel the contract and return the security of the ports back to the Nigerian Maritime Administration and Safety Agency (NIMASA).”

Recall that a civil society group on the platform of Conduct and Due Process Group had raised an alarm alleging that the peace enjoyed by oil-producing areas may soon come to an abrupt end if the conflict between the two businessmen is not settled.

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In a statement signed and sent to Legit.ng on Tuesday, January 12 by the chairman, Conduct and Due Process Group Comrade Adediran Raymond, the group said it has been observing a situation that could quickly result in a conflict that would send the Niger Delta region into the dark ages.

Meanwhile, some youth groups in the country have urged the federal government to investigate an oil-field contract in the petroleum sector.

The groups, Nigeria Young Professionals Forum (NYPF), the Commonwealth Youth Council (CYC) and other civil society organisations made the demands during a press briefing in Abuja.

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