The African Export-Import Bank (Afreximbank) and Ibom Power Company have formally agreed that the latter will make quarterly repayments on an over $7 million loan(Settlement Sum) obtained from the bank, with full repayment targeted by 2028.
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This is according to the Terms of Settlement signed by the legal teams of Ibom Power and Afreximbank, and exclusively seen by Nairametrics, in Suit No. FHC/ABJ/NRJ/6/2024 before the Federal High Court, Abuja.
Ibom Power Company is owned by the Akwa Ibom State Government.
What they are saying
According to the settlement documents filed before Justice Obiora Egwuatu of the Federal High Court on October 21, 2025, the intention of the bank and Ibom Power is to amicably resolve the dispute and settle any doubts regarding potential, actual, or future claims arising from the matter.
The settlement terms agreed upon by the parties include the following:
- The parties agreed that Ibom Power will pay the settlement sum of $7,860,445.21 to Afreximbank in accordance with the Settlement Repayment Schedule (Clause 5.2).
- Pursuant to the settlement terms, Afreximbank shall fully, irrevocably, and unconditionally waive all claims it has or may have against Ibom Power in respect of the subject matter of the suit.
- The parties agreed that Ibom Power shall repay the settlement sum in no more than “13 quarterly repayments”, commencing in March 2025 and ending in March 2028.
- The parties acknowledged that Ibom Power has already paid $1.5 million for Quarter 1 (March 2025) and $585,024.67 for Quarter 2 (June 2025).
- For Quarter 2, the parties also acknowledged that Ibom Power paid costs covering the amount ordered by the English High Court in its judgment ($17,039), legal fees for documenting the settlement agreement and effecting the consent judgment ($7,500), as well as legal fees incurred by the bank in its enforcement action ($30,000).
- It was also agreed that if Ibom Power fails, neglects, or omits to make any repayment on the due date, or within a 14-day cure period after the repayment date, the suspension of accrued interest shall terminate and interest payments on the outstanding repayment amount shall be reinstated.
- Subject to the terms of the settlement, the parties agreed that Afreximbank shall wholly and completely terminate, abandon, and discontinue all claims against Ibom Power connected to or arising from the subject matter of the suit.
- The parties further agreed that the Terms of Settlement are binding on them and shall be entered as the final judgment of the court in the suit.
Nairametrics exclusively gathered that on October 25, 2025, Justice Egwuatu adopted the terms as the judgment of the court.
Backstory
According to court documents reviewed by Nairametrics, Afreximbank (the judgment creditor) commenced an originating petition and ex parte motion against Ibom Power in 2024, seeking leave to register against the company an approved consent order of the High Court of Justice of the United Kingdom.
Under the order, Ibom Power was directed on January 15, 2024, to pay the bank $7.8 million, $17,805 in costs, and post-judgment interest of 8% on any unpaid portion of the judgment sum.
- The bank also sought an order of the Federal High Court registering the English High Court judgment as its judgment against Ibom Power (the judgment debtor).
- On November 7, 2024, the Federal High Court, granted an order registering the English High Court judgment as the judgment of the court.
- The bank subsequently served the registration order on the company.
- In response, Ibom Power filed and served a Notice of Petition against the bank dated November 29, 2024, seeking to set aside the registration order.
Ibom Power argued that the suit was statute-barred, constituted an abuse of court process, and urged the Federal High Court to decline jurisdiction over the matter.
In opposition, the bank filed a counter-affidavit challenging the company’s application to set aside the judgment.
Amid the proceedings, Afreximbank and Ibom Power resolved to amicably settle the dispute and subsequently filed the Terms of Settlement.
What you should know
On March 18, 2026, the Akwa Ibom State Government denied approving the sale of Ibom Power Company, contrary to claims published by an online platform.
The statement was signed by Hon. Aniekan Umanah, the State Commissioner for Information.
The statement noted that the Akwa Ibom State Government, under the leadership of Governor Umo Eno, “is currently repaying the $9 million Afreximbank loan secured by the company several years ago” as part of efforts to rescue and reposition Ibom Power for sustainable operations.
The commissioner further disclosed that, in furtherance of this commitment, Governor Umo Eno approved a structured quarterly repayment of $560,000 on March 15, 2025, to progressively liquidate the facility and free the company from legacy financial obligations.
In 2015, the Nigerian Electricity Regulatory Commission (NERC) had issued Ibom Power Plant an expanded electricity generation licence, increasing its generation capacity from 190 megawatts (MW) to 685 MW.
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