11 January 2013

Nigeria: FG, Lagos Sign Lekki Seaport Agreement

The Federal Government and Lagos State Government have signed an agreement for the construction of a deep seaport in Lekki. Officials of "Ports at Lekki", a private investor in the project, also took part in the signing of the agreement.

Managing Director, Nigeria Ports Authority (NPA), Alhaji Habib Abdullahi, who signed on behalf of the federal government, said the project was conceived to complement the Tin Can Island Port (TCIP) and Apapa Quay. Abdullahi noted that the two existing ports had been overstretched, saying that the project would boost the state's economy significantly and also tackle the problem of ports congestion.

"The partnership is such that, there is one foreign investor, Ports at Lekki, in the deal on a 60-20-20 per cent basis. That is 60 per cent for foreign investors, 20 per cent for Federal Government through NPA and 20 per cent equity for the state government. That is how it is going to work. The driving force will be the foreign partners, who have already started work there, they have already invested some amount and we are expected also to put in our equities," he explained.

The state Commissioner for Commerce and Industry, Mrs. Olusola Oworu, in her comments, said the project was conceived out of the need to have a modern and a truly deep sea port that could take large vessels in the country. Oworu explained that existing ports in the country no longer had the capacity to handle the traffic following the expansion of the nation's economy.

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