China Threatens To Shut Down Nigerian Communications Satellite Over 11.44m Debt

China Great Wall Industry Corporation issued a 30-day ultimatum to the Nigerian Communications Satellite Limited on March 9, 2026. The Chinese state-owned company demanded immediate payment of 11.44 million or threatened to shut down Nigeria’s only operational communications satellite from orbit.

Liu Lan, Director of Marketing for Africa at CGWIC, signed the letter addressed to the Managing Director of NigComSat Limited. The company also copied President Bola Ahmed Tinubu on the correspondence.

The Debt Accumulation

The outstanding debt reached 11,442,335.89 as of December 31, 2025. CGWIC stated that this amount accounted for deductions on services provided to the Nigerian operator. However, the balance remained unresolved despite continuous negotiations.

The Chinese company rescued NigComSat-1R from orbital collapse in 2019. Following this intervention, CGWIC entered into a management contract with the Nigerian satellite operator. Since that year, NigComSat Limited made no payments to the Chinese firm.

The Letter

The correspondence contained specific details about the financial dispute. Liu wrote, “As of December 31, 2025, the total net outstanding debt owed by NIGCOMSAT to CGWIC stands at USD11,442,335.89. This figure accounts for deductions for services NIGCOMSAT has been provided by us, yet the balance remains substantial and unresolved.”

The letter continued, “Regrettably, despite our continuous provision of essential Telemetry, Tracking, and Command (TT&C) services from Kashi, China, no payments have been received from NIGCOMSAT Ltd. since 2019.”

Failed Negotiations

CGWIC demonstrated patience over the seven-year period. The company stated that it “deliberately delayed standard debt collection actions out of goodwill and a desire to ensure the continuity of Nigeria’s satellite operations.”

Negotiations occurred in 2023 and early 2025. During these discussions, CGWIC agreed in principle to reduce the total debt. However, NigComSat repeatedly failed to meet agreed conditions for partial payments.

The Threat

The Chinese company cited internal pressure as the reason for its hardline stance. Liu stated, “As a commercial entity, CGWIC is currently under immense pressure from internal auditors and our external subcontractors, and we are no longer in a position to sustain these operations without remuneration.”

The ultimatum specified clear terms. Liu wrote, “Therefore, CGWIC is hereby issuing a final thirty (30) day ultimatum. NIGCOMSAT is required to either make the payment of USD 11,442,335.89 or provide a formal, legally binding guarantee of payment within thirty (30) days of the date of this letter.”

The consequences of non-payment were explicit. The letter stated, “If full payment or an acceptable guarantee is not provided within this 30-day window, CGWIC will suspend service on the active transponders of the NIGCOMSAT-1R satellite.”

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