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Home » Stakeholders Knock Mercury Concession Company Over Escravos Deep Seaport Plan 

Stakeholders Knock Mercury Concession Company Over Escravos Deep Seaport Plan 

...Say port not realistic, timeline not feasible

by Joshua
July 1, 2024
in Featured, News

By Oluyinka Onigbinde

Stakeholders in the nation’s maritime industry have lambasted the promoters of the controversial Escravos Deep Seaport in Delta state over plans to establish yet another deep seaport in the country.

The stakeholders, reacting to the ambitious timeline and technical feasibility of the project, expressed serious concerns about the foundational planning and implementation strategies proposed by the promoters of the port; Mercury Maritime Concession Company (MMCC).

Shipping Position Daily recalls that the promoters of the Deep Seaport had, at a press briefing stated that the proposed N40.14 trillion Escravos Industrial Complex (ESIC) project in Gbaramatu, Delta State, would be open for commercial operation by 2029.

The chairman of MMCC, Rear Admiral Andrew Okoja (retd), disclosed that documents regarding the project were before the Ministry of Industry, Trade, and Investment, which had assured that the necessary revalidation by the Federal Government would be granted before the June 30, 2024 deadline.

Okoja emphasized that the project, involving one deep seaport, inland ports across seven states, and an extensive intermodal transport system, would boost Nigeria’s economy significantly.

The stakeholders, in reaction to the plan, stated that the project lacked essential technical and strategic inputs from seasoned professionals, which could undermine its success.

They noted that critical infrastructure such as breakwaters and the re-laying of existing pipelines must be addressed, before any significant progress could be made. Furthermore, they emphasized the need for a comprehensive market and freight strategy to support such a large-scale development.

In a chat with our correspondent, Capt. Iheanacho Ebubeogu, Chairman of the Port Operations and Logistics Committee of the Nigerian Port Consultative Council (NPCC), highlighted the importance of a well-designed breakwater to support the deep sea port.

Ebubeogu, who was once General Manager in charge of marine and operations questioned the feasibility of the project without this critical infrastructure, citing the necessity of accommodating deep draft vessels.

“For anything to happen there successfully, we must start with the breakwaters. The design of the breakwaters will determine whether you can have a deep sea port at Escravos,” he said.

Ebubeogu also raised concerns about the existing pipelines in the area, which would need to be re-laid to avoid impeding safe passage for the vessels.

Similarly, Capt. Waredi Eniuosoh, a maritime security expert, expressed skepticism about the ambitious timeline, suggesting that the term “deep seaport” might be used loosely.

He criticized the lack of professional involvement in the project’s planning stages, arguing that seasoned professionals should have been involved from the beginning.

“People come up with all these laudable ideas without surrounding themselves with grounded technical people. They feel professionals will take the shine off them.

In the process, the plot is lost as challenges come,” Eniuosoh noted. He also proposed that investors should demand exclusivity for their investment to ensure no other port projects are approved within 200 nautical miles for a substantial period.

Also speaking, Chef Eugene Nweke, Head of Research at Sea Empowerment Research Center and a former president of the Nigerian Association of Government Approved Freight Forwarders (NAGAFF), drew parallels with the proposed Ibom Deep Sea Project, which has faced delays for nearly a decade.

He suggested that the Escravos project might encounter similar issues due to technical defaults. Nweke emphasized the need for proper undersea surveys and dredging to achieve the required depth and criticized the five-year execution period as a political statement. “Proposing multiple deep sea port projects without developing a strategic market and freight plan is a misnomer,” he asserted.

Capt. Tajudeen Alao, President of the Nigerian Association of Masters Mariners (NAMM), questioned the necessity of developing multiple seaports at every river outlet in Nigeria.

He argued that the country might not need more than three smart ports, even as he raised concerns about the cargo evacuation plan, especially given Nigeria’s foreign exchange constraints and the need for value addition to export products. “Must every river outlet be a seaport? Do we need more than three smart ports in Nigeria? What is the cargo evacuation plan – import or export goods? No forex to import, no value addition to raw products for export,” he stated.


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