After the Nigerian government resolved an arbitration case that prevented Nigeria from building Africa's second largest hydropower station, the country has clearly begun construction of the hydropower station.
The Manbira Dam, currently costing $ 4.8 billion, was built by China Energy Engineering Corporation and a consortium led by China Hydro. Previously, the company had a legal dispute with Sunrise Power and Transmission in Nigeria.
Nigerian Power Minister Salman Manman said the arbitration heard at the Paris International Chamber of Commerce has now been resolved. "We have now overcome the main problems of stopping the project and are nearing completion."
He added that Nigerian Attorney General Abu Bakar Malami is finalizing the terms of the settlement and that work is expected to begin in 2020.
After the Nigerian government awarded the project to two other Chinese companies in 2007, Sunrise sued the Nigerian government. The company claims that this violates an agreement it signed in 2003. The company has been seeking compensation of $ 2.3 billion.
Sunrise CEO Leno Adesanya said in November 2019 that the company had spent millions of dollars to raise approximately $ 6 billion for Mambilla and had suffered "improper administrative interference and intervention".
China Exim Bank will provide about 85% of the loan. The bank said it will not continue to provide loans until the case is resolved.
The project was promoted in 2018 after Chinese President Xi Jinping announced support for the project at a meeting with Nigerian President Buhari.
The Manbira hydropower complex has been under discussion for more than 40 years and it will connect to four dams on the Tonga River near Nigeria's border with Cameroon. Water from the dam will be diverted to a huge underground power plant through three 33-kilometre tunnels, after which water will be reintroduced into Donga.
The first feasibility study was conducted by Moto Columbus in 1972, but attempts to build the power station were unsuccessful.
After the project is completed, the Manbira Dam will become the second largest dam in Africa, second only to the Ethiopia Grand Revival Dam. It is expected to provide a quarter of the country's electricity. (Please refer to www.seetao.com for reprinting.) See editor of section engineering / Huang Lijun
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