Cameroon – Olembe complex: Works Halted as Magil Ends Contract

In a press release dated 20 July 2020, the company announced the suspension of work for a period of 30…


In a press release dated 20 July 2020, the company announced the suspension of work for a period of 30 days.

The Canadian company denounces the non-respect by Ministry of Sports and Physical Education of its contractual obligations, in particular, the non-payment of the accounts in which the invoices of the subcontractors and the suppliers are found, for a total amount of 12 billion.

Franck Mathière explained to his partners that this situation is due to the non-respect of its contractual obligations by the project owner, the Ministry of Sports and Physical Education.

To date, and despite multiple reminders to Minspe, the latter is still not able to proceed with the payment of the last accounts in which are the invoices of subcontractors who have worked tirelessly to enable the organization of the African Cup of Nations,” he wrote.

Moreover, despite the existence of a tax-free contract, the project owner has still not produced the certificates of assumption of responsibility for VAT and customs duties, placing all the actors in the project at risk,” he added.

Magil who inherited the construction site of the Olembe sports complex in December 2019 after the observation by the owner of the failure of the first contractor, the Italian Piccini, had signed a contract of 55 billion CFA francs with the State of Cameroon represented by Ministry of Sports.

The terms of the contract provided, in the first phase, the completion of work on the main stadium of 60,000 seats, training stadiums, the development of car parks and roads, and even the construction of a four-star hotel which is still expected.

The second phase of the works concerns the construction of an Olympic swimming pool within the complex, a gymnasium, a commercial centre, the gymnasium, basketball and volleyball courts, tennis courts and the fence.