Transformative Port Development Projects Approved By Federal Executive Council In Nigeria
The Federal Executive Council (FEC) has approved several port development projects in Nigeria, signaling a significant boost to the country’s maritime infrastructure. These projects, undertaken through Public Private Partnerships, include the renovation of Burutu Port and the establishment of a Deepsea Port in Delta State, the development of Ondo Port, and the creation of the Snake Island Terminal in Lagos.
The Burutu Port project, with a concession period of 40 years and a total cost of $1.28 billion, will be executed in three phases by the concessionaire, Akewa Colmar Terminals Limited. The first phase involves rehabilitating the existing port, followed by the construction of a bulk deep seaport at Agge, located 32 kilometres downstream. The final phase will focus on constructing a deep-sea container terminal at Agge. This project aims to enhance the utilization of inland waterways for the cost-effective export of solid minerals and agricultural produce, thereby promoting economic growth, industrial activities, and job creation in Delta state. Over a 40-year period, it is expected to generate $125 billion in revenue.
The Ondo Multi-Purpose Deep Seaport at Erunna/Ogboti will be executed in two phases, with a total cost of $1.457 billion. The first phase, costing $1.14 billion, has been approved by the FEC, with China Railway Eryuan Engineering Group Co., Ltd (CREEC) selected as the concessionaire. This port project includes the development of an Industrial City with Free Trade Zone status. It aims to boost commercial and industrial activities, improve the state’s competitiveness, and create employment opportunities. Over a 50-year concession period, the project is expected to generate approximately $59.03 billion in revenue.
The Snake Island Terminal, situated within the Snake Island Integrated Free Zone (SIIFZ), has been approved at a cost of $974.19 million for a 45-year term. Messrs Nigerdock and Snake Island Integrated Free Zone (SIIFZ) will serve as the concessionaire. This multipurpose port facility, operating within the Apapa and Tin Can Ports vicinity, is envisioned as a green port with three terminals, 2.5 kilometres of quay, six ship berths, and nine barge berths. It covers an area of 85 hectares and aims to expand port infrastructure, increase cargo volumes, create job opportunities, and reduce cargo diversion to neighbouring countries. The project is estimated to generate $5.23 billion in revenue for the government.
These port development projects mark a significant step toward enhancing Nigeria’s maritime capabilities, boosting trade, and improving the country’s economic prospects. They will contribute to increased revenue, job creation, and improved transportation efficiency, benefiting both the government and the Nigerian people.