President Muhammadu Buhari, on Tuesday performed the groundbreaking for the Eastern Narrow-gauge railway project in Port Harcourt Rivers State.
The groundbreaking ceremony marks the commencement of the implementation of another important national infrastructure which consists of three projects, consisting the Port Harcourt to Maiduguri narrow gauge railway reconstruction project with new branch lines to Owerri, Imo State and Damaturu, Yobe State.
The President noted that the second and the third projects are the Bonny deep seaport and a Railway Industrial Park, Port Harcourt would be constructed through direct investments by Chinese partners and international financing agencies.
According to Buhari, the project is also designed to link other standard gauge rail lines under construction through the provision of transhipment centres.
He said the funding of the railway is through loan of 85% project cost and the Federal Government contribution of 15% as counterpart funding.
“These projects will serve transportation and supply chain network for domestic needs and export as well as support imports into the hinterland of the country through the new deep seaport in Bonny Island, Rivers State.
“This improved port is designed to be a regional and international transport hub. In line with the global trends, the Railway Industrial Park will have the capability for processing exports of raw materials with value addition and also export of locally made goods” he said.
In his remark, the Minister of Transportation, Rotimi Amaechi, disclosed that while the railway project is to be co-financed by loan from a syndicate of Chinese financiers with Federal Government contribution of 15% project cost, the Bonny Deep seaport and Railway Industrial park, Port Harcourt are being developed through direct investment by the conglomerate led by Messrs CCECC Nigeria Limited with a total investment portfolio of US$700m.
“The Federal Ministry of Transportation is working in line with Mr. President’s directives, to implement the Nigeria Railway Modernization project and progressively expand the railway network. In this regard, the rail line connection from Enugu to Awka – Onitsha and Abakaliki is undergoing necessary Feasibility Studies and preparation of conceptual design.” Amaechi said.
