FLOUTING CONTRACTUAL OBLIGATIONS, DEFYING COURT ORDERS, AND DISREGARDING ARBITRATION: THE FACTS BEHIND HADIZA BALA USMAN’S ABUSE OF OFFICE AS NPA MD

By BUA Group | May 31, 2025

We have noted recent public statements made by Ms. Hadiza Bala Usman, the former Managing Director of the Nigerian Ports Authority (NPA), who was sacked from office. In her comments, she accused BUA Group and our Chairman, Abdul Samad Rabiu, of breaching a concession agreement and distorting facts. These claims were made in response to our Chairman’s interview and article, “Two Years of President Tinubu: A Business Perspective” (watch at https://bit.ly/pbatbua), which celebrated Nigeria’s reform trajectory and referenced prior instances of arbitrary disruptions to business operations, without naming anyone – a situation that has now been curtailed by President Tinubu’s no-nonsense approach to bringing sanity and stability to the business environment in Nigeria.

Ordinarily, we would not engage, but the distortions in her response necessitate this factual clarification, especially as they relate to her actions during her tenure as MD of the NPA.

THE CONTRACT AND WHAT SHE OMITTED

In 2006,

BUA entered into a valid long lease agreement with the NPA to rehabilitate and operate Terminal B at Rivers Port in Port Harcourt, Rivers State. Long before Ms. Usman’s appointment, BUA had begun formal engagement with the NPA to address outstanding remedial works and infrastructural deficiencies. These discussions were nearing their conclusion when she assumed office.

Rather than build on that process, Ms. Usman ignored BUA’s requests and obligations under the agreement. In 2016, BUA wrote to the NPA under Article 8.4 of the lease, mandating concessionaires to report environmental and safety concerns and to seek approval for remedial works. Rather than act constructively, Ms. Usman used that letter as a pretext to issue a termination notice and summarily shut down the terminal, without providing any prior warning, consultation, or invoking the dispute resolution clause.

She forgot or failed to disclose in her response that the NPA, under her leadership, was itself in material breach of core obligations including, failing to hand over critical portions of the port, leaving derelict iron ore on the berths, failing to dredge or repair quay walls, and neglecting to provide mandatory security. These lapses were significant impediments to BUA’s operations and, as a result, led to disputes between the parties.

ILLEGALITY, CONTEMPT, AND DISREGARD FOR CONTRACTUAL MECHANISMS

After the unlawful termination, BUA approached the Federal High Court, which promptly granted an injunction restraining the NPA from proceeding with termination. The NPA itself then referred the dispute to arbitration, as stipulated in Section 17.3 of the agreement, which clearly states:

“Any dispute, controversy or claim… shall be exclusively and finally settled under the dispute resolution process prescribed in this Article.”

Despite this, Ms. Usman, against the advice of her agency, unilaterally decommissioned the berths, thereby violating both the agreement and a court injunction. To be clear, the concession agreement granted her no such power to decommission. If she believes otherwise, we invite her to publicly cite the specific clause that authorizes this action.

To further compound the illegality, BUA, after providing the guarantees and indemnities requested by the NPA, was permitted to resume operations briefly. Merely three weeks later, the terminal was again shut down, this time by Ms. Usman’s instruction. This left no doubt that her actions were motivated not by due process, but by personal animosity and abuse of office.

BUA subsequently filed contempt proceedings and was looking at estimated losses of over $10 million. These proceedings were only withdrawn out of respect for national interest and following the intervention of well-meaning Nigerians within and outside the government.

PRESIDENT BUHARI WAS NOT MISINFORMED—HE ACTED ON FACTS AND LAW

Ms. Usman’s claim that former President Muhammadu Buhari was “misinformed” when he reversed her actions is false, disrespectful, and disingenuous.

Following a meeting that our Chairman had the privilege of holding with President Buhari in 2018, he presented the matter to the President, who then directed the Office of the Attorney General of the Federation to conduct a thorough legal review and investigate the situation. The AGF invited all parties, including Ms. Usman, to several meetings. We never saw her at any of them.

Nevertheless, the AGF proceeded to undertake a comprehensive review of the contract, the litigation, the arbitration clause, and all correspondence and actions by BUA and NPA. The legal advice (attached herewith) found that the termination was unlawful, the decommissioning was without any legal basis, and that BUA’s rights should be reinstated.

It was on this basis that President Buhari ordered the reversal of her unlawful actions. His intervention preserved the sanctity of the contract, saved over 4,000 jobs, and BUA’s $500 million integrated investment cluster involving flour, pasta, and sugar processing facilities, which were all dependent on terminal access. For this, we remain deeply grateful to former President Buhari.

As our Chairman said in his interview, imagine if he weren’t privileged to have access. Nonetheless, this culture of impunity has been significantly curtailed under President Tinubu’s leadership, as many are aware that they could be dismissed or imprisoned if they abuse their positions.

POST-HADIZA: DUE PROCESS RESTORED, INVESTMENT RESUMED

Following Ms. Usman’s removal from office, the NPA, under new leadership, implemented the AGF’s position. In 2022, BUA was granted formal approval to resume reconstruction works. The contract was awarded to TREVI, and BUA has since invested over $65 million—entirely self-funded and with no recourse to public funds or subsidies. Work is ongoing, and completion is expected in the first quarter of 2026.

THE REAL DANGER: INVESTOR CONFIDENCE AND THE RULE OF LAW

We must state clearly that this matter goes beyond BUA. Had Ms. Usman’s actions been allowed to stand, it would have sent a disastrous signal that contracts in Nigeria are worthless, court orders are optional, and public institutions or individuals can act unilaterally without consequence. We must never return to that era.

Nigeria’s reform success today is rooted in respecting contracts, due process, and investor confidence—principles being restored under President Tinubu’s administration, under which BUA has committed over $1 billion in new investments across energy, food processing, manufacturing, infrastructure, and social interventions.

We wish to emphasise that Ms. Usman is entitled to her opinions, irrespective of how distorted they may be. However, she is not entitled to distort the facts or rewrite history. We do not seek a public spat and would like her to concentrate on fulfilling her duties in her new role under the strong leadership of President Tinubu.

We therefore simply restate the facts that Ms Hadiza Bala-Usman had no authority to decommission Terminal B unilaterally. She also acted in defiance of a court injunction and contractual procedure, and her actions caused significant economic loss of over USD10 million, reputational risk to BUA, and investor concern for Nigeria.

Our core message remains the same: public office should be viewed as a position of trust rather than a platform for personal biases. Those granted public power need to resist the temptation to let prejudice, ego, and vendetta influence their actions.

If Ms Hadiza Bala-Usman believes she acted lawfully, we challenge her to cite the specific clause or clauses that guided her unlawful actions. If not, let the facts remain where they belong — in the public record.

Signed,
BUA Group
May 31, 2025

The African Centre for Energy Governance and Accountability (ACEGA) has praised President Bola Ahmed Tinubu for what it described as groundbreaking and well-coordinated reforms in Nigeria’s oil and gas regulatory framework.

The group said the Tinubu administration’s support for the effective implementation of the Petroleum Industry Act (PIA) and its deliberate push to increase crude oil production are signs of genuine transformation in the energy sector.

In a statement signed by its Executive Director, Dr. Usman Bello Idris, the group said Tinubu’s approach to reform has restored investor confidence, revived production targets, and positioned Nigeria as a more responsible and efficient oil-producing nation.

“For years, Nigeria’s oil and gas sector groaned under inefficiency, uncertainty, and dwindling output. But what we are seeing today under President Tinubu’s leadership is a bold reset — one that respects the sanctity of the Petroleum Industry Act while pushing for real, measurable growth,” Dr. Idris said.

One of the most visible outcomes of the reforms, ACEGA said, is the steady increase in Nigeria’s crude oil production.

Since mid-2023, the country has seen a gradual climb in output levels, breaching 1.7 million barrels per day in recent months — a marked improvement from the lows of 2022 when output plunged below 1.2 million barrels due to theft, vandalism, and poor infrastructure.

Dr. Idris noted that this uptick did not happen by chance but was the result of deliberate interventions supported by Tinubu, including the relaunch of dormant assets, improved metering systems, and coordinated security efforts around critical pipelines.

“Nigeria’s crude oil production had been on life support, but through strategic regulatory leadership and presidential backing, the situation is reversing. Fields are coming back online, theft is being checked, and operators are regaining the confidence to produce,” he said.

ACEGA particularly hailed the president’s strong commitment to implementing the Petroleum Industry Act (PIA), signed into law in 2021.

The group noted that Tinubu’s government did not just inherit the legislation; it has gone further to empower the relevant agencies, notably the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), to deliver on its promises.

“We must commend President Tinubu for not sidelining the PIA or paying lip service to its provisions. Instead, he has supported a robust implementation strategy that is already yielding results in licensing, fiscal discipline, community development, and investor clarity,” Dr. Idris stated.

The PIA, which took nearly two decades to become law, was designed to overhaul Nigeria’s oil and gas governance by introducing a transparent fiscal framework, separating regulatory responsibilities, and ensuring that host communities benefit from oil proceeds.

“From the Host Communities Development Trust to new fiscal incentives for marginal fields, and clearer guidelines for environmental compliance, the PIA under this administration is not just a document — it is a living, working tool of reform,” Idris added.

The group also applauded the leadership of Engr. Gbenga Komolafe at the NUPRC noting that his commitment to professionalism and transparency has contributed immensely to the success of the reforms.

It cited the commission’s efforts in reducing production costs, introducing real-time production monitoring, and facilitating a transparent bidding process for oil blocks as exemplary.

“The president has given NUPRC room to work, and they are proving that competent leadership can deliver results. NUPRC’s moves to enforce better metering, clamp down on theft, and promote decarbonisation reflect a forward-thinking agenda aligned with global standards,” ACEGA said.

While commending the gains so far, ACEGA urged the Tinubu administration not to rest on its laurels.

The group said there is a need for deeper investment in energy infrastructure, faster resolution of legacy disputes, and strategic planning for Nigeria’s energy transition in the face of global decarbonisation targets.

“The work is not done yet. Nigeria still faces challenges in refining capacity, gas monetisation, and energy access for its people. But what this administration has shown is that with political will, the sector can be revived. The future of oil and gas in Nigeria can be cleaner, more transparent, and more rewarding for all stakeholders,” Dr. Idris said.

ACEGA concluded by calling on stakeholders in the oil and gas industry — from international oil companies to local investors and host communities — to support the government’s reforms and work collectively to secure Nigeria’s energy future.

Tinubu Takes Quick Steps To Help Niger Flood Victims, Assures Unwavering Support

Sahara Weekly Reports That In a heartfelt message released on Saturday, President Bola Ahmed Tinubu conveyed his deep concern and unwavering support for the people of Mokwa Local Government Area in Niger State, who have been severely impacted by recent floods that claimed lives and displaced families.

The President, in a personally signed statement, expressed his condolences to the affected families and the entire people of Niger State. “I have received with deep concern the distressing reports of severe flooding in Mokwa Local Government Area of Niger State, which has resulted in the tragic loss of lives and the displacement of families,” the statement read. “I extend my heartfelt condolences to the affected families and the good people of Niger State at this difficult time.”

Demonstrating proactive leadership, President Tinubu disclosed that he had immediately directed the activation of the National Emergency Response Centre and engaged the National Emergency Management Agency (NEMA) for a detailed briefing on the disaster’s scale and the urgent humanitarian needs. “Search-and-rescue operations are ongoing, and all relevant federal agencies have been mobilized to support the state government’s efforts,” he assured.

In a show of solidarity and compassion, President Tinubu emphasized that relief materials and temporary shelter assistance were already being deployed, ensuring that no Nigerian affected by the disaster would be left behind or neglected. “I assure all those impacted that your government stands with you,” he declared. “We will continue to coordinate with the Niger State Government to ensure a swift, coordinated, and compassionate response, one that prioritizes lives, restores dignity and accelerates recovery.”

The President also called on all Nigerians to stand united in prayer and support for their fellow citizens in Mokwa, highlighting the nation’s collective resilience and humanity during such trying times. “In times of adversity, we draw strength from our unity, resilience, and shared humanity,” he reminded.

Furthermore, President Tinubu directed security agencies to assist in emergency efforts, while tasking NEMA and the National Emergency Response Centre with ongoing coordination and timely updates to the nation.

Through this compassionate message and prompt action, President Tinubu reaffirmed his commitment to the safety and well-being of all Nigerians, especially in moments of tragedy. His words and actions underscore a government determined to leave no one behind, standing by its people when they need it most.