Lagos-Calabar rail construction begins soon as FEC okays $11.2bn

Construction work is set to commence on the Lagos-Calabar coast rail line, following the Federal Executive Council’s approval of $11.2bn for the project.

Minister of Information and Culture, Lai Mohammed, stated this after the FEC meeting, presided by Vice President Yemi Osinbajo in Abuja on Wednesday, where contracts worth $15.44bn in the Transportation and Petroleum Resources ministries got the nod.

Besides the Lagos-Calabar coastal line, Mohammed said FEC also approved funding for the Kano-Jibia and Lagos-Maiduguri rail lines.

He said, “The Minister of Transportation (Rotimi Amaechi) has another appointment and he presented two memos and both memos actually have to do with the commitment of the administration to expand and consolidate on the rail projects. The first one actually has to do with the Kano-Jibia rail and then the other one has to do with the Port Harcourt-Maiduguri route.

“Actually, what was approved there today was funding to ensure that work starts immediately on those two routes. Another memo that was approved today was the ratification of the President’s approval for the award of the contract for the Lagos-Calabar coastal standard gauge rail. You’ll remember that this is a very old project, which we inherited. Under the former administration, an approval was given, but was nothing was done, but today, the council has given approval to commence the Lagos-Calabar coastal route.

“This particular route is very important because after the Lagos-Kano route, this Lagos-Calabar coastal route actually will link all the coastal cities in the country.

“The proposed route alignment is to go from Lagos to Sagamu, Sagamu to Ijebu-Ode, Ijebu-Ode to Ore, Ore to Benin City, Benin to Sapele, Sapele to Warri, Warri to Yenagoa, Yenagoa to Port Harcourt, Port Harcourt to Aba, Aba to Uyo, Uyo to Calabar, Calabar to Akamkpa to Ikom, Obudu Ranch, with a branch line from Benin City to Asaba, Onitsha Bridge and then Port Harcourt to Onne Deep Seaport.

“This particular project is very important, especially for our coastal economy. The cost of the project is $11,174,769,721.74 and we have six years to complete this project.”

China and Nigeria in 2016 agreed to the over $11bn contract to build the Lagos-Calabar coastal rail, stretching1,400km but funding had delayed the project.

President Muhammadu Buhari in February this year directed the Ministries of Transportation and Finance to conclude financial arrangements with appropriate co-financiers that would partner the FG for construction of the standard gauge coastal rail.

The President gave the directive at the virtual groundbreaking ceremony for the Kano-Katsina-Jibiya-Maradi rail line.