ENERGY Infrastructure News & Reports

Daewoo Shuts Down NLNG’s $10bn Train-7 Site as workers’ Dispute Lingers

The timeline for the completion of the Nigeria LNG Limited’s Train-7 project may be under threat following the protracted labour dispute between members of the National Association of Plant Operators and the management of Daewoo E & C Nigeria Limited.

As a result of the protracted dispute, the management of Daewoo Engineering and Construction Nigeria Limited has shut down its Train 7 project site and ordered its workers to vacate all work locations under its purview.

Sapiem, Chiyoda and Daewoo Joint Venture are the EPC firms for the ongoing NLNG $10billion Train-7 project.

Daewoo, a South Korean firm hitherto has been in an industrial crisis with its workers who are protesting the refusal of the company to allow them unionize under NAPO, alleged illegal deductions of check off dues from their salaries and dismissal of 24 of their colleagues.

Daewoo in a memo signed by its Project Manager, Mr Sung Lee, said it could no longer guarantee the safety of workers and equipment sequel to an incident last Friday which led to severe damages to the company’s properties and impacting on the safety of the workforce.

Lee in the memo titled “Site Shut Down” advised all workers residing at its Workers’ Village should vacate their rooms, adding that he was unsure when activities will recommence in the site.

The statement reads, “Management can no longer guarantee the safety of the workers and equipment.

“Consequently, the management has decided to shut down the work site effective Monday 10th October 2022 since it can no longer guarantee the safety of both personnel and equipment.

“Therefore, all DECN won portion workers are hereby directed to vacate the work locations.

“As a result of this, site activities are not sure to commence any time soon. Therefore, all workers are hereby put on standby

“All workers resident in workers village are strictly advised to vacate their rooms immediately.

“All workers on standby will be paid standby allowance (basic pay) standby allowance will be computed accordingly and paid to all employees bank account details.

“Management will announce the resumption of site operations when the issues are resolved, and the safety of employees and equipment can be guaranteed.”

Meanwhile, the President of NAPO, Mr Harold Benstowe, has accused the management of Daewoo of insincerity in dealing with the issues.

Benstowe said that NAPO would meet with the Department of State Services in Port Harcourt tomorrow over the issues.

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