Fresh revelations emerged on Thursday at the ongoing trial over the controversial Mambilla hydropower contract, as a key witness informed an Abuja court that former President Olusegun Obasanjo had already approved Sunrise Power and Transmission Company for final negotiations before Dr. Olu Agunloye assumed office as Minister of Power.
Testifying under cross-examination, Assistant Commissioner of Police Umar Babangida, the EFCC’s Chief Investigating Officer for over a decade, confirmed that Obasanjo authorised both Sunrise and Tafag & Co. to enter final negotiations for the Mambilla project under the supervision of then–Minister of Power, Dr. Olusegun Agagu.
The dramatic disclosure marked the fourth day of Babangida’s cross-examination and unveiled a string of revelations that, according to defence counsel, could prove pivotal for “the bench, the parties and the public.”
Court documents tendered during the session showed that by the time the negotiations concluded, Agagu had left office and his successor, Agunloye, inherited the process. The records further indicated that Sunrise emerged as the preferred contractor based on technical superiority and the strength of its Build-Operate-Transfer (BOT) proposal — a model considered more favourable than the Build-Operate-Own (BOO) structure earlier favoured by Agagu.
On 7 April 2003, shortly after assuming office, Agunloye wrote to President Obasanjo outlining four pillars for recommending Sunrise: its technical competence; an existing Nigeria–China MOU supervised by then–Vice President Atiku Abubakar in 2002; Chinese government-backed financing commitments; and its acceptance of Nigeria’s equity cap at 25% rather than the 35% previously suggested.
The EFCC investigator, Babangida, identified as PW3, confirmed that all four bases highlighted by Agunloye were supported by documents before the court.
Tension briefly flared when the defence counsel pressed PW3 to specify which of the four bases emerged only after Agunloye took office. The witness hesitated, claiming he could not recall the timeline of Chinese government involvement.
When PW3 began reading the 2002 Nigeria–China MOU — which clearly referenced China EximBank’s role in financing, the prosecution abruptly objected, prompting a heated moment in court. Irritated by the interruption, the defence lawyer told the prosecution counsel to “Sit down,” triggering objections from both the prosecution and the judge.
The defence counsel immediately apologised to the court and opposing counsel. Once calm returned, PW3 conceded that China EximBank, referenced in the 2002 MOU, is indeed a financial agency of the Chinese government — bolstering the defence’s argument that China’s involvement predated Agunloye’s appointment.
Following the tense exchanges, the presiding judge adjourned further cross-examination to 18 December 2025, with additional dates set for 19 January and 21 January 2026.
The proceedings continue to draw public attention as new evidence challenges previously held assumptions about Agunloye’s role and the origins of Sunrise’s involvement in the landmark project.