Nigeria Wins ICC Arbitration, Avoids $2.35 Billion Mambilla Claim

An International Chamber of Commerce tribunal in Paris dismissed a $2.35 billion compensation claim by Sunrise Power and Transmission Company over the stalled Mambilla Hydroelectric Power Project. The panel also rejected a separate $400 million settlement demand and ordered Sunrise and its promoter, Leno Adesanya, to reimburse Nigeria approximately $11.82 million in legal fees and expenses.

President Bola Tinubu described the ruling as the removal of the single biggest legal hurdle paralysing the 3,960 MW project in Taraba State for years. He thanked former Presidents Olusegun Obasanjo and Muhammadu Buhari, as well as former ministers Suleiman Adamu and Babatunde Fashola, for their roles in the defence.

“The tribunal award affirms the Nigerian State's determination not to succumb to predatory and exploitative claims by corrupt local and international entities and their enablers and funders.”

The tribunal found that Adesanya is bound by the arbitration agreement and affirmed jurisdiction over Nigeria's counterclaim. The 620-page award, chaired by Melanie van Leeuwen with co-arbitrators Simon Nesbitt and Stavros Brekoulakis, detailed alleged corruption and fraud by Sunrise.

Following the verdict, the Economic and Financial Crimes Commission (EFCC) established a team led by Chairman Olanipekun Olukoyede to investigate individuals named in the ruling. Sources indicate the award references dealings involving former Vice President Atiku Abubakar, his wife, and former Attorney General Abubakar Malami, among others.

This victory adds to a series of recent legal successes for Nigeria, including the overturning of the $11 billion P&ID gas arbitration award and the dismissal of claims by European Dynamics and Fougerolle.