The Cross River State Government has successfully obtained $3.5 billion in funding from Afreximbank in Cairo for the Bakassi Deep Seaport Project, as announced by Governor Bassey Edet Otu through his official X (formerly Twitter) account on Tuesday.
Governor Otu emphasized that this partnership between the state government and Afreximbank will significantly contribute to economic growth and development within the state.
The Bakassi Deep Seaport project, initiated in 2014, has reached several milestones, including the development of terms of reference for the project’s Environmental and Social Impact Assessment (ESIA) by March 2015, obtaining presidential clearance, and the approval of the Production Sharing Contract (PSC).
Despite previous setbacks, including challenges in securing funding during the tenure of former Governor Ben Ayade, the project is aimed at establishing an eastern maritime gateway for Nigeria, enhancing regional economies, and facilitating the adjacent free trade zone and Bakassi Industrial City.
The seaport’s envisioned functions include handling containers, storage and importation of petroleum products and vehicles, serving as a logistical base for the regional oil & gas sector, and acting as a trading hub for West Africa. It is expected to bolster import capacity for essential food and agricultural products and enhance export capacity for industrial outputs and natural resources.
The operational structure of the proposed port is designed to maximize private sector involvement while ensuring overall ownership by the Nigerian Ports Authority (NPA). Initial steps involve outsourcing terminal operations via concession agreements and subsequently outsourcing construction and maintenance. The NPA will collaborate with a port management company comprising both public and private shareholders to oversee development and potentially issue sub-concessions, thus improving efficiency with combined oversight.
Governor Otu’s successful securing of $3.5 billion from Afreximbank signifies a significant step forward for the Bakassi Deep Seaport project. Financial experts believe that if construction proceeds as planned, the port’s potential could finally be realized, marking the culmination of extensive planning and strategic investments.
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