Investors await NEPZA’s intervention as LADOL, SHI dance naked
(LADOL) and one of its investors, Samsung Heavy Industries (SHI MCI FZE).
in the media after the multi-million dollar fabrication and integration facilities built in the zone.
on the squabble which NEPZA is keeping mute on.
to LADOL, Prof. Oditah, addressed newsmen in Lagos recently saying
LADOL is willing to
settle with Samsung Heavy Industries (SHI) over ownership of the $300
million integration and fabrication yard at the Lagos Free Trade Zone
(FTZ), only on its terms. “We are very happy to work with SHI, not on
its own terms but ours,” he said.
a joint venture between LADOL and Samsung formed to perform the Egina Floating Production Storage and Offloading (FPSO).
with a LADOL affiliate, Global Resources Management Limited (GRML).
operating licence was not renewed and consequently it was unable to access the LADOL free zone.
had restrained LADOL zone management from violating SHI MCI FZE’s operating licence.
on August 14, 2018.
SHI MCI FZE’s operating licence.
the zone thereby making it unattractive to investors.
provide offshore logistics, engineering and other support services for maritime and oil and gas industry.
for zone maintenance. Goods in the zones are treated by law as
if they are not in Nigeria because
they don’t pay levies, taxes and other charges that companies in Nigeria
pay. Disputes in the zone are supposed to be handled by the regulatory
agency, in the case, NEPZA.
with LADOL and its affiliate.
of malicious and false information about Nigerian government and the business climate of Nigeria.
Samsung of demanding huge unconscionable variations from their clients, Total, NNPC Joint venture.
maintained that Samsung is a contractor and not an investor. It said
that SHI did not satisfy
the condition of regulation 41 and had placed itself above the Nigeria
law and free zone regulation and is not entitled to a renewal of its
operating licence.
complete its work on Egina FPSO. With the sail away of the FPSO, SHI MCI FZE’s facility user licence automatically terminated.
their responsibilities as stated in section 4D of act 63 of 1992.
a case of this magnitude, the business community is looking at NEPZA in
the dispute settlement,
especially in this time when federal government is making every effort
to improve Nigeria’s ranking in the ‘global ease of doing business’.
over a long period of time. Why would the arbiter, NEPZA, allow the rancour to linger?
up their position to the court of public opinion, except there is more than meets the eye which the public has not been told.
‘being a country within a country’. Also what led to SHI MCI operating with FZE prefix, as a Contractor?