Barely two months after Lagos Deep Offshore Logistics (LADOL) terminated the operating licence of Samsung Heavy Industries Nigeria Limited at the LADOL Free Zone in Lagos, the deep offshore logistics provider has again sacked Africoat Nigeria Limited from the zone.
Africoat was issued a final notice from LADOL for the removal of its equipment/properties from the free zone after it had earlier terminated the Services Agreement it signed with the company.
According to reports, the revocation of the company’s operating licence from the terminal has cost the company some business opportunities including sending more Nigerian youths into the labour market.
A source in LADOL attributed the new development to the failure of Africoat to pay rental fees and file quarterly data and annual returns to LADOL.
“Africoat also failed to commence operations since the completion and rental of the pipe-coating facility. It also defaulted in the payment of ground rent and service charges.”
But an Africoat official blamed his company’s predicament on the toxic environment created by LADOL for companies operating in the free zone.
“LADOL Free Zone is currently a toxic environment to operate as the company is in conflict with the only two independent operators in the zone-Samsung Heavy Industries Nigeria Limited and Africoat.
“Many Nigerians are losing their jobs because of these conflicts. The solution to the crisis is for the Federal Government to encourage competition by issuing other free zone management operators’ licence like LADOL.”
The firm, Africoat was conceived to take advantage of the investment opportunities left in the pipe-coating market in Nigeria when Bredero Shaw decided to leave West Africa.
Africoat renders pipe coating services such as concrete weight coating, custom coating, internal coating, corrosion coating and insulation coating, serving not only Nigeria, but Ghana, Angola, and other locations.
LADOL is an industrial Free Zone privately owned logistics and engineering facility located on an island in the Port of Apapa, Lagos and it is the first and only base specifically designed to meet the logistical needs of deepwater offshore oil and gas operations and projects in and around Nigeria.
