The Cross River State Government has revoked the concession agreement granted to CIBA Construction Company Limited for the management of the Obudu Cattle Ranch.
The termination was officially communicated through a letter signed by the Attorney General and Commissioner for Justice, Ededem Ani.
Governor Bassey Otu announced the decision, citing CIBA Construction Company’s failure to meet key development obligations outlined in the agreement.
According to Mr. Ani, the company neglected critical responsibilities specified in Sections 5.0, 6.0, and 14.0(b) of the contract.
“These violations include the failure to invest in the renovation of the resort’s hotel and other essential facilities,” Mr. Ani stated. “Despite repeated breaches, CIBA continued to underperform, compelling the Cross River Government to terminate the agreement with immediate effect.”
Following the revocation, Governor Otu directed the Special Adviser and Chief Executive Officer of Obudu Ranch Resort, Sunday Michael, along with other stakeholders, to take immediate steps to revitalize the facility.
Mr. Michael confirmed the termination of the 25-year concession agreement, which was initially signed with CIBA in 2017. He attributed the decision to the company’s consistent failure to fulfill its contractual obligations.
The concession, granted during the administration of former Governor Ben Ayade, tasked CIBA with designing, financing, constructing, operating, maintaining, and transforming the ranch under a public-private partnership model.
The Obudu Cattle Ranch, also known as Obudu Mountain Resort, was established in 1951 by a Scottish rancher, M. McCaughley. It gained prominence as a tourist destination during the administration of former Governor Donald Duke (1999–2007), who spearheaded significant upgrades to the facility.
Under Mr. Duke’s leadership, the ranch underwent extensive remodeling, including the construction of chalets, aerial tramways (cable cars), and the improvement of road networks leading to the hilltop. These enhancements positioned the ranch as a premier tourist attraction.
However, subsequent administrations failed to maintain or build upon these improvements, leading to a decline in patronage and the deterioration of facilities.
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