Rahila Lassa, Abuja
The Nigerian government, De-Sadal Nigeria Limited, and China Liancai Petroleum Investment Holdings Limited are set to commence the construction of a $60 bn gas and 4,000-kilometre high-speed rail project in Nigeria.
This was disclosed when the consortium presented proof of funds to the Secretary to the Government of the Federation, Senator George Akume, alongside the Ministers of Transportation, Sa’idu Alkali and State for Petroleum Resources (Gas), Ekperikpe Ekpo, among others, in Abuja on Tuesday
The first phase, which spans 1,600 kilometres, will cover Lagos- Abuja- Kano and Abuja- PortHacourt, within a period of 36 months.
The SGF said the move was in line with President Bola Tinubu’s massive reforms in the economic sector, which makes business simple and easy.
Although he described De Sadel Consortium as a trusted firm, he noted that the document is subject to scrutiny to establish the real amount of money that is available.
” We don’t doubt them, but that is the normal procedure that government takes when huge sums of money are involved in such transactions.”
According to him, Nigeria is ready for the project once the Consortium is ready.
The CEO, De Sadel Consortium, and Mr Samuel Uko disclosed that for the first time in ten years, the firm is getting 90% approval to handle the high-speed rail bullet train project.
He said the first phase of the project, which costs $55 billion, will be funded by the Asian Development Investment Bank.
“Today, $60 billion of proper funds have just been submitted to the government through our financial and technical partners. The first phase of the project is $55 billion. So the fund is ready, and the country is ready to move forward with this project. ”
He further noted that part of the strategy will be to develop the gas sector, first , for easy accessibility to power for the project.
“Well, you can not develop high-speed rail without developing the gas aspect of the economy. As we all know, we don’t have enough gas presently. So the raw material for high-speed rail is power.The raw material for power is gas. So we have to develop the gas aspect to be able to access more gas to power the high-speed rail project.”
Mr Uko also narrated that the project is structured in a way that will give people early access to the speed train.
“When we get to the second, third state, the people from the first two states will start enjoying the speed train. So that is how it’s going to be in phases.”
Also present was the Minister of Transportation, Mr Sa’idu Alkali, who said President Bola Tinubu has given all ministers the marching order to attract foreign investors.
Minister of State, Petroleum Resources (Gas), Mr Ekperikpe Ekpo, said the project is going to be a game changer for both parties.
On the issue of availability of gas, he said Nigeria has 210 trillion cubic feet of gas that need to be tapped and used in the process.
Speaking further, Director General, Infrastructure Concession Regulatory Commission, ICRC, Dr Jobson Ewalefoh, said the partnership was in line with the vision of President for Nigeria in streamlining the processes in carrying out Public Private Partnership.
He emphasised that it is part of the requirements in ICRC for any investor to provide proof of funds.
Minister of Transportation, Sa’idu Alkali, said the project aligns with the ministry’s mandate to provide safe, secure, and affordable transportation.