The Federal Government and Bi-Courtney Limited have formally ended their nearly 20-year dispute over the Murtala Muhammed Airport Terminal Two (MM2) in Lagos, following the signing of settlement agreements protecting the airport and an uncompleted lodge and convention centre reverse the ability.
The Minister of Aviation and Aerospace Development, Festus Keyamo, SAN, disclosed this on Tuesday, October 20, 2026, through the formal signing of the agreements involving the Federal Government, the Federal Airports Authority of Nigeria (FAAN), Bi-Courtney Limited and Stabilini Visinoni Limited.
The signing adopted the approval granted by the Federal Executive Council (FEC) on April 30, 2026, for a negotiated settlement aimed toward resolving longstanding authorized disputes between the events, together with claims and counterclaims that had reached the Supreme Court.
Keyamo confirms settlement of MM2 dispute
Keyamo defined that efforts to resolve the dispute started about two years in the past underneath President Bola Tinubu’s directive, resulting in sustained negotiations with Bi-Courtney’s chairman, Dr Wale Babalakin, over a number of difficult authorized and industrial disagreements.
According to the minister, the negotiations ultimately produced a settlement that may enable the Federal Government to start receiving its share of income from MM2 for the primary time in nearly twenty years, whereas paving the best way for the airport to accommodate regional flights inside Africa.
- “Today, I was pleased to formally sign the settlement agreements between the Federal Government of Nigeria, the Federal Airports Authority of Nigeria, Bi-Courtney Limited and Stabilini Visinoni Limited over the nearly 20-year disputes involving MM2 domestic airport and the uncompleted hotel and conference centre opposite the airport,” Keyamo acknowledged.
The signing ceremony was attended by administrators of the Ministry of Aviation and Aerospace Development, the Managing Director of FAAN, the Director-General of the Infrastructure Concession Regulatory Commission (ICRC), and different ministry officers.
Bi-Courtney Limited was represented by Babalakin and members of his staff.
The settlement formally concludes the longstanding dispute over MM2 and the uncompleted lodge and convention centre, whereas offering a framework for income sharing and regional flight operations.
Bi-Courtney waives N132 billion damages
The settlement follows an earlier announcement by Keyamo on May 1, 2026, detailing the concessions agreed upon by each events after the Federal Executive Council authorised the decision of the dispute.
The phrases cowl excellent monetary obligations, operational rights, airport enlargement and the completion of the lodge and convention centre undertaking.
- Bi-Courtney agreed to waive the N132 billion court-awarded damages towards the Federal Government and relinquish its declare to the previous home terminal at Murtala Muhammed Airport, which the Supreme Court had ordered to be handed over to the corporate.
- The firm additionally surrendered its unique rights to function non-public or home airports in and round Lagos State and agreed to begin cost of concession charges underneath the settlement dated April 24, 2003, as soon as the settlement was executed.
- In return, the Federal Government agreed to jot down off excellent concession charges amassed through the dispute and restore the beforehand revoked lodge and convention centre undertaking to Bi-Courtney for completion and operation inside 24 months, topic to revenue-sharing preparations.
The authorities additionally agreed to allow regional flight operations at MM2, topic to the terminal’s capability, and supply extra land for apron enlargement to accommodate extra plane.
The concessions are anticipated to revive authorities income from the airport whereas creating alternatives for elevated industrial actions and infrastructure growth on the terminal.
How MM2 concession dispute started
Bi-Courtney Aviation Services Limited (BASL), a subsidiary of the Bi-Courtney Group chaired by Wale Babalakin, operates MM2 underneath a Design-Build-Operate-Transfer concession settlement awarded by the Federal Government in 2003.
The terminal commenced operations in 2007, turning into Nigeria’s first privately concessioned airport terminal and marking a major growth in private-sector participation within the nation’s aviation infrastructure.
- The concession subsequently grew to become the topic of extended disagreements over contractual obligations, income entitlements and operational rights.
- In July 2021, Nairametrics reported that Bi-Courtney accused FAAN of owing it over N200 billion in misplaced earnings, disputing claims by the then Minister of Aviation, Hadi Sirika, that the corporate owed the federal government roughly N13 billion.
- In June 2026, Nairametrics additionally reported that the Federal Government was planning to increase rail connectivity from Ikeja to the Murtala Muhammed International Airport, General Aviation Terminal and MM2 to enhance passenger motion and accessibility.
The longstanding disagreements had affected the connection between the Federal Government and Bi-Courtney, notably over the concession’s monetary and operational obligations.
