The much talked about foreign investment into the Nigerian economy may lose ground as the country is at the verge of missing the sum of $27.29 billion funding for the Escravos Seaport Industrial Complex (ESIC) project in Delta State and related seven beneficiary States by the end of June 2024.
This is because of the prolonged delay of the Federal and the Delta State governments in giving a final approval for the project's take off.
Chairman of Mercury Maritime Concession Company (MMCC), Rear Admiral Andrew Okoja (rtd), whose firm is the concept developer and lead promoter of ESIC project stated that the investors are ready to commit funds for the commencement of the project.
Okoja noted that the slow pace in the governments providing the necessary approvals may see Nigeria missing out of the desired creation of job opportunities for the citizens.
EDIB International of Hong Kong had early this year expressed its willingness to invest USD $27.29 billion to develop the ESIC project whose deep seaport will be located in Escravos (Gbaramatu Island/Omadino) Warri South-West Local Government Area of Delta State; a development to be effected through Joint Venture Partnership (JVP) with a Nigerian firm Mercury Maritime Concession Company Limited (MMCC).
In its first commitment letter dated 19/01/2024 communicated to MMCC through Chief Kwame Springer, the Chairman of EDIB International Ltd the financing company and their consultancy Blue Dot Wealth Limited, outlined EDIB International group's risk assessment and requirements for successful funding to be granted demanded the securing and protection of their investment by a guarantee of the Federal Government to control the proliferation of Free Trade Zone in the country.
It will be recalled that the development of Escravos Seaport Industrial Complex (ESIC) project commenced in 2019 and aims to develop 31,000 hectares of Delta State land into a Deep Seaport, Crude oil refinery, Gas Complex, Independent Power Plant (IPP), Airport, Nature Park, etc.
According to Okoja, the project is a development that promises to massively open up Delta State and seven other states to international investment in trade, commerce and industry.
"ESIC will transform Delta State economy and those of ESIC beneficiary states from a rural-driven economy with sprinklings of urban development to a metropolis driven economy of international dimension. ESIC project is a Non - Solicited Public - Private Partnership (PPP) driven project regulated by Infrastructure Concession Regulatory Commission (ICRC) Laws of the Federal Government of Nigeria.
"It is modeled after the Lekki Deep Seaport/Free Trade Zone (FTZ) to serve the marine/economic interest of the Niger Delta, Eastern and some Northern States of the Country specifically to solve the perennial port congestion problems in Nigeria."
He noted that the ESIC project is complimentary to the ongoing Lagos - Calabar coastal road in the country.
According to him, "It is instructive to note that by virtue of this deal, the ESIC ownership of deep seaport will revert to FG at the expiration of the renewable fifty (50) years concession. Secondly, it is also consequent upon the May 2022 Delta State Government (DTSG) expression of willingness (Provisional Approval) to lease a 31,000 hectares of land located at Escravos and Omadino to MMCC to host the entire ESIC project.
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"The ESIC project is presently supervised by the Federal Ministry of Industry, Trade and Investment (FMIT&I). Due to the concern about the absence of response from FG and DTSG to EDIB International demands whose fulfilment are precedent to the release of funding to develop ESIC project, the Chairman of EDIB Int'L visited the Hon. Minister, FMIT&I and functionaries of DTSG to have discussion with them on ESIC project funding on 15th May 2024. Among the subject discussed were the ESIC project funds diversion to other African states if Nigeria was not ready yet to commence the ESIC project."
