A great cloud of uncertainty now hovers over the US$1.5Billion Lekki Deep sea port project following disagreements between the three promoters over the actual value of their equities.
The three promoters are: Federal Government of Nigeria, Lagos State Government and Singapore based investor; Tolaram group.
Our correspondent learnt last week that, even though the trio are expected to own equities of 20 per cent, 18.5 per cent and 61 per cent respectively, some of them are becoming suspicious of one another.
A great cloud of uncertainty now hovers over the US$1.5Billion Lekki Deep sea port project following disagreements between the three promoters over the actual value of their equities.
The three promoters are: Federal Government of Nigeria, Lagos State Government and Singapore based investor; Tolaram group.
Our correspondent learnt last week that, even though the trio are expected to own equities of 20 per cent, 18.5 per cent and 61 per cent respectively, some of them are becoming suspicious of one another.
While the Lagos state government is said to be uncomfortable with the Federal Government which is represented by the Nigeria Ports Authourity (NPA), the duo of Tolaram and the Federal Government are also reportedly raising eyebrows over the 18.5% equity allocated to the port’s host state of Lagos.
Specifically, our correspondents confirmed that the final documents were yet to be signed by the trio, and that the much-touted 2017 commencement of operations at the expansive site on the Lekki Epe expressway is unrealistic.
Our sources who are at the heart of the operations hinted that, both the Federal Government and Tolaram are insisting that even though the Lagos state equity is covered by the land that it has donated, the actual value of the land is being contested. The partners are calling for revaluation of the land’s worth.
On its part, the state government is said to be uncomfortable that the initial 60:20:20 equity ratio in favour of Tolaram, NPA and Lagos respectively has been altered giving rise to the new 61.5:20: 18.5 ratio for Tolaram, NPA and Lagos respectively.
It was also hinted last week that NPA was yet to back its equity with money, an information that we could not confirm as at press time, though.
Shipping Position Daily however confirmed that, NPA’s Executive Director, Engineering and Technical, Alhaji Mohammed Saleh recently told the Senate Committee on marine transport that the agency has refused to pay the equity because it needed a technical auditor to confirm the amount the concessionaire had spent so far, especially from the report submitted by the Tolaram Group.
Saleh told the committee which is headed by Senator Zynab Kure that, although there is appropriation for its equity at the Deepsea port, there was still to ascertain the $60 million the concessionaire claimed to have spent so far.
He had told the committee that: “Some amount was appropriated in the 2013 budget, but before NPA can commit funds, we have to be sure of the availability of their own fund and the verification of claims that they have injected $60 million and they have a balance of $152 million on ground”.
An insider within the Lekki Deepsea port project however hinted our correspondent last week that, “with all these back and forth action on their (NPA and Lagos government) part, I have my fears about the time line that we have set, if any one of them have questions let them come up , instead of playing game with the project”.
Shipping Position Daily recalls that Tolaram had hinted recently that the port will commence full operations in 2017.
The hope was expressed by the Director Finance Lekki Free Trade Zone; Mr. Kundan Sainani when the top management team of the Nigeria Shippers’ Council led by its Executve Secrtaery ; Barr. Hassan Bello paid a working visit to the port site recently.
He had also disclosed that: "By the end of 2017, the port will be operational and together with the Lagos State Government and the Nigeria Ports Authority we are investing $1.5 billion”.
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