The Federal Executive Council (FEC) on Wednesday approved the first ever Deep Sea port in Nigeria to cost over N216 billion ($1.354 billion)
The Minister of Information, Labaran Maku and his Transport counterpart, Idris Umar disclosed this while briefing State House correspondents at the end of the FEC meeting presided over by Vice President Namadi Sambo.
The Lekki Deep Sea port, which has been on the drawing board for several years with anticipatory approval received about ten years ago, will now be completed in the next four years.
Its completion will end the present congestions at the various ports in the country including the Apapa port.
Maku said: “Current administration, seeing the huge benefit of the project, had taken over the project to be executed under a Public-Private-Partnership arrangement, while federal government also renegotiated the concessionary period in favour of Nigeria from 50 down to 45 years.”
The Federal government, he said, is expected to contribute 20 percent equity on the port designed to handle the largest vessels in the world, while Lagos State Government will contribute 18.5 percent. Private investors are contributing 61.85 percent.
Designed to handle 4 million tonnes of cargoes, he said the port is expected to cover an area of 90 hectars with provision for expansion, 6 kilometers and the width of the Channel leading to the port is put at 200 meters to be dredged to a depth of 17.5 meters, with a width of 300 meters, making it the deepest in West Africa.
He said the Nigerian Ports Authority (NPA), is expected to reap over $9.3billion, made up of $2.6 billion from marines’ services and royalty and $6.7 billion from share of profits from the investments.