FG approves N3.5 trillion seaport development projects in Delta, Ondo, Lagos
By Abimbola Abdullahi
The Federal Government has approved about $4.7 billion (about N3.5 trillion) for the development of three milestone port projects in Delta, Ondo and Lagos states.
The projects are: the development of the Ondo Multi-purpose Port in Ilaje, Ondo State; the expansion of Snake Island Terminal, Lagos State; and the expansion and development of Burutu Seaport, Delta State, through public-private partnerships (PPP).
The Nigerian Ports Authority (NPA), in a statement said this development was further to its resolve to deliver efficient port services through strategic port development.
According to NPA, projected revenues accruing to the Federal Government are expected to be $50 billion in royalties and other fees in marine services, while the proponent is expected to receive $2.6 billion in profits throughout the concession tenor.
The Ondo Deep Sea Project will be developed in two phases.
In another development, the proponents of the Snake Island terminal, Nigerdock FZE, operate the Snake Island Port facility located within the Snake Island Integrated Free Zone (SIIFZ).
Projected revenues accruing to the Federal Government are $18 billion in royalties and marine services, while the proponent is expected to receive $5.23 billion in profits throughout the concession tenor.
At the Delta, the Burutu Port project, as proposed by Messrs. Akewa Colmar Services Ltd., is conceptualized as a mining, inland transportation, logistics base, and transshipment hub for the provision of other port services in Western and Central Africa.
It is planned as a combination of the rehabilitation of the old port at Burutu and the development of a greenfield port proposed to be in Agge, Delta State. The project is estimated to cost USD 1.2 billion for a concession period of 40 years.
Projected revenues accruing to the Federal Government are $125 billion in royalties and marine services, while the proponent is expected to earn $9 billion in profits throughout the concession tenor.
The project will be developed in three phases.
The Infrastructure Concession Regulatory Commission (ICRC) issued Certificates of Compliance to the port projects
