Delta revalidates $27.29bn Escravos Seaport approval

By Steve Agbota

The Mercury Maritime Concession Company (MMCC) has received renewed approval from the Delta State Government for the $27.29 billion Escravos Deep Seaport Industrial Complex (ESIC) Project. The revalidation comes as MMCC awaits final approval from the Federal Government before the end-of-June deadline set by the project financier.
Following the state government’s endorsement, the Federal Government has assured MMCC that revalidation of the previously granted provisional approval is imminent. It is noteworthy that EDIB International of Hong Kong, the project’s financier, has requested assurances of investment security and protection, specifically seeking Federal Government oversight to manage the proliferation of Free Trade Zones (FTZ) in Nigeria.
The investing company has emphasised that without the federal government’s approval, the funds might be redirected to other African nations. Rear Admiral Andrew Okoja (rtd), Chairman of MMCC, during a briefing in Lagos, highlighted Delta State’s commitment of 31,000 hectares of land on Gbaramatu Island/Omadino in Warri South-West Local Government Area. This land pledge is a pivotal step towards the project’s realization.
“Securing the land, which is the central hub of the project, allows us to move forward with obtaining the Certificate of Occupancy (C of O) and finalizing all necessary formalities. The state government’s approval is a significant milestone,” Okoja remarked.
Okoja pointed out that delays in receiving Federal Government validation have caused investor concerns, stressing the urgency of timely approval to avoid jeopardizing the partnership. MMCC is coordinating closely with the Federal Ministry of Industry, Trade, and Investments, which oversees the project. Official confirmation is anticipated soon.
The ESIC Project is designed as a comprehensive venture, featuring a major deep seaport and a network of inland ports to enhance connectivity across Nigeria. MMCC is encouraging the participation of the seven benefiting states by offering a 0.2 percent equity in the project, which is a public-private partnership regulated by the Infrastructure Concession Regulatory Commission (ICRC) laws of Nigeria.
Okoja addressed concerns from the Nigerian Port Authority (NPA) regarding potential monopolies and the need for document regularization. “The NPA is just an agency; we are engaging at the government and ministerial levels. Our project is professionally driven and backed by extensive maritime expertise,” he clarified.
He also responded to proposals from Chinese investors for exclusive access to the port they would fund. “We emphasized the importance of competition and efficiency. Any viable project should compete in the market,” he stated.
The project involves constructing seven inland dry ports in Bayelsa, Imo, Delta, Edo, Kogi, and Abuja. MMCC plans to achieve all deliverables within five years of commencing construction. Ausbet Udebu, a director at MMCC, provided insights into the project’s scope, which includes: one deep seaport; inland ports in seven states; an intermodal transport system for cargo evacuatio; 45 km of coastal roads; 150 km of rail line connecting to the existing Warri-Ajaokuta-Itape railway; 600 km of marine network and independent power infrastructure with a 2,000 megawatt Independent Power Project (IPP), plus two 500 megawatt IPPs in two inland ports, and five 250 megawatt IPPs in five inland ports.
Additionally, the project will feature a Free Trade Zone, an industrial park, and a Central Business District, aiming to boost economic growth and development in the region.

The post Delta revalidates $27.29bn Escravos Seaport approval appeared first on The Sun Nigeria.

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