Federal Government has resolved a 20-year dispute with Bi-Courtney Aviation Services over the Murtala Muhammed Airport Terminal Two, MM2, in Lagos State, South-West Nigeria.
Briefing State House correspondents after meeting of the Executive Council of the Federation chaired by President Bola Tinubu at the Presidential Villa Abuja, on Thursday, Minister of Aviation, Festus Keyamo, said council approved a settlement agreement with the concessionaire, headed by Wale Babalakin.
Keyamo said the agreement brings to an end decades of legal and operational disputes between both parties.
Under the terms, Bi-Courtney has relinquished its claims to the domestic terminal, MM1, which will remain under Federal Government control, and has also agreed to forgo the N132 billion Supreme Court judgement debt, including accrued interest.
In return, the government has restored the company’s rights to complete and operate the abandoned hotel and conference centre near MM2 within 24 months, under a revenue-sharing arrangement.
The deal also removes previous exclusivity clauses, clearing the way for new airport projects in Lagos, including the proposed Lekki Airport.
The Aviation Minister added that government will now begin to earn revenue from MM2 operations, while plans are underway to expand the terminal and increase regional flight operations.
Keyamo further disclosed that council approved the establishment of a Nigeria Aircraft Leasing Company, a private sector-driven special purpose vehicle backed by government guarantees, designed to address one of the biggest challenges facing local airlines access to aircraft.
He explained that the initiative will allow domestic operators to access aircraft through structured leasing arrangements, reducing dependence on foreign lessors, easing operational pressure, and improving fleet availability for Nigerian carriers.
The Federal Government, he said, will only provide sovereign backing for repossession guarantees while also holding equity in the company.
(Editor: Terverr Tyav)
