The African Development Bank (AfDB) says it has approved 150 million dollars loan to Lekki Tolaram Port to build a Greenfield Seaport in the Lagos Free Trade Zone (LFTZ).
This is contained in a statement issued by the bank yesterday in Abuja.
The Lagos Free Trade Zone is 60 kilometres east of Lagos.
The statement said the project would be managed by Lekki Port LFTZ Enterprise for 45 years under a build, own, operate and transfer (BOOT) concession granted by the Nigerian Ports Authority (NPA).
The African Development Bank (AfDB) says it has approved 150 million dollars loan to Lekki Tolaram Port to build a Greenfield Seaport in the Lagos Free Trade Zone (LFTZ).
This is contained in a statement issued by the bank yesterday in Abuja.
The Lagos Free Trade Zone is 60 kilometres east of Lagos.
The statement said the project would be managed by Lekki Port LFTZ Enterprise for 45 years under a build, own, operate and transfer (BOOT) concession granted by the Nigerian Ports Authority (NPA).
It said the loan (about N23 billion) would be used for the construction of breakwaters, quays, approach channels, dredging of the basin and captive utilities such as water and power.
According to the statement, the port, when completed, will handle 2.5 million 20-foot equivalent units (TEUs), 16.7 million tonnes (MT) of liquid cargo and 4.5 MT of dry bulk.
It explained that the construction would start in January 2015, while the container terminal would begin in December 2018.
The statement added that the project, which was estimated at US$1.675 billion dollars, would be financed through a 54/46 debt to equity ratio by the bank and the handlers.
It said the project was in line with the Nigeria’s Strategy Paper (2012-2016), which stresses infrastructure development in the non-oil and transport sector.
The statement added that the project was also in line with the bank’s Regional Integration Strategy Paper for West Africa.
The project emphasised linking regional markets through transport infrastructure.
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