Bassey Otu, Governor of Cross River State has revoked the concession agreement granted to CIBA Construction Company Limited for the management of the Obudu Cattle Ranch, citing the company’s failure to fulfill its contractual obligations.
Investigations revealed that CIBA failed to meet the terms of the agreement, leaving the ranch in a deteriorated state rather than improving its infrastructure and services.
The concession, granted under the administration of Sen. Ben Ayade, tasked CIBA with designing, financing, building, operating, maintaining, and ultimately transforming the ranch under a public-private partnership.
However, the company neglected key development obligations, particularly those outlined in Sections 5.0, 6.0, and 14.0[b] of the agreement.
These violations included the failure to invest in the renovation of the resort’s hotel and other essential components.
Despite multiple breaches, CIBA continued to fall short, prompting the Cross River State Government to terminate the agreement with immediate effect.
In revoking the concession, Governor Otu directed the Special Adviser and Chief Executive Officer of Obudu Ranch Resort, Comrade Sunday Michael, alongside other key stakeholders, to implement measures to revamp the facility.
The termination was formally communicated via a letter signed by the Attorney General and Commissioner for Justice, Barr. Ededem Ani, which detailed CIBA’s material breaches and justified the state’s decision.
The move has been widely hailed by stakeholders, who praised Governor Otu’s commitment to accountability and good governance. Many see this decision as a bold step toward revitalizing the ranch and ensuring its economic viability.
Story by Ajelo Chinonso