South Africa‘s Transnet said on Friday (Nov. 23) it would stop a R7 billion project to deepen berths at Africa‘s biggest container terminal in the port city of Durban until a dispute over the awarding of a contract is resolved.
Transnet, which operates nearly three-quarters of the African rail network, said one of the unsuccessful bidders for the project had filed a court challenge against the decision to award the contract to CMI Emtateni Joint Venture, which includes Italian construction company CMC Di Ravenna and local firms.
The state-owned logistics firm said it would investigate the allegations made about the awarding of the contract. Transent did not provide details on what the allegations were.
Officials at CMI Emtateni Joint Venture could not be reached.
“In the interest of good corporate governance, Transnet has decided to issue a stop work instruction on the Main Marine Construction Works contract pending the outcome of the investigation,” Transnet said in a statement.
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