Special Reports

Court Grants Judicial Review Against Lee Engineering Over Oil, Gas Procurement In NNPC

Samuel Ogidan

In a significant boost for transparency and accountability in Nigeria’s oil and gas sector, the Federal High Court in Abuja, presided over by Honourable Justice Binta Nyako, has granted the leave to commence judicial review proceedings against Lee Engineering and Construction Company Limited and the Attorney General of the Federation over alleged violations of the Freedom of Information Act, 2011.

The suit was instituted by the Incorporated Trustees of the Conference of Civil Society for Transparency and Accountability (CCSTA) following the refusal of Lee Engineering and Construction Company Limited to disclose information relating to several publicly funded oil and gas projects despite receiving a Freedom of Information request dated April 14, 2026.

Lee Engineering, a major Engineering, Procurement and Construction (EPC) contractor executing projects for the Nigerian National Petroleum Company (NNPC) Limited and its subsidiaries, is alleged to have failed to provide records concerning refinery rehabilitation contracts, the Utorogu Gas Plant expansion, the Assa North-Ohaji South (ANOH) gas project, emergency pipeline repairs, environmental impact assessments, host community development expenditures, procurement approvals, and compliance with local content obligations.

By granting leave, the Court has effectively acknowledged that the application raises substantial questions warranting judicial scrutiny and reaffirmed the constitutional right of citizens and civil society organisations to demand accountability in the management of public resources.

The case comes amid growing concerns over transparency in Nigeria’s oil and gas industry, where opaque procurement practices, inflated contracts, non-competitive bidding processes, and weak oversight have long been cited as major impediments to economic growth and energy security.

According to counsel to the Applicant Joseph Chukwuemeka, Esq “poor procurement practices in the oil and gas sector has profound consequences for the nation’s economy. When strategic projects are poorly managed, delayed, or inflated, government is often forced to borrow additional funds to finance cost overruns and abandoned projects, thereby deepening Nigeria’s debt burden.”

He added “in turn, constrain public spending on critical sectors such as education, healthcare, and social protection”.

Procurement inefficiencies also fuel inflation. Delays, corruption, and waste associated with refinery rehabilitation and gas infrastructure projects undermine domestic energy production, increase dependence on imported petroleum products, and expose the economy to foreign exchange volatility. Higher energy costs inevitably cascade through the economy, raising transportation costs, food prices, and the overall cost of living for millions of Nigerians.

Speaking on the development, the Chairman of CCSTA, Comrade Japhet Onlede, said, “Nigeria cannot continue to accumulate debt while citizens remain in darkness, refineries remain dysfunctional, and critical gas infrastructure projects remain shrouded in secrecy. Transparency in oil and gas procurement is not optional; it is indispensable to economic stability, debt sustainability, energy security, and public trust.”

The reliefs sought by COCTA underscore the potentially serious consequences of non-compliance with the Freedom of Information Act.

Among other orders, the organisation is asking the Court to convict Lee Engineering and Construction Company Limited and impose a fine of Five Hundred Thousand Naira on the company, payable into the Federal Government’s Treasury Single Account.

In the alternative, COCTA is seeking an order compelling the Attorney General of the Federation to prosecute the company for alleged breaches of the Freedom of Information Act.

The organisation argues that private entities performing public functions or utilizing public funds cannot disregard statutory obligations under the FOI Act with impunity.

A successful prosecution, it said, would send a strong message to contractors handling public resources that secrecy, refusal to disclose public records, and non-compliance with transparency laws carry both legal and reputational consequences.

Comrade Onlede added: “Civil society will continue to deploy strategic litigation to ensure that public resources are managed openly, responsibly, and in the best interests of the Nigerian people. Accountability is not an option in a democracy; it is a constitutional imperative.”

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