OADC Invests $240M to Expand Lagos Data Centre by 2027

Open Access Data Centres (OADC), a subsidiary of WIOCC Group, has unveiled plans to expand its Lagos data centre to 24 megawatts by 2027, with an estimated investment of $240 million.

Located in Lekki and serving as the landing point for Google’s Equiano subsea cable in Nigeria, OADC’s current capacity stands at 1.5MW, which became operational two months ago.

The expansion, set to occur in phases, is part of a broader $500 million initiative launched in 2021 to strengthen Africa’s digital infrastructure.

“One megawatt capacity of a data centre costs about $10 million. We are building 24 megawatts, which is about $240 million — a huge investment,” Chief Executive Officer Ayotunde Coker revealed during a press briefing in Lagos on Wednesday.

The project is supported by international finance partners, including the International Finance Corporation and Proparco, a subsidiary of the Agence Française de Développement Group. The financing model is structured as sustainability-linked debt, with pricing tied to WIOCC’s commitment to enhancing energy efficiency and achieving EDGE green building certification.

“It’s a massive investment with huge capital requirements. We were among those who announced sustainability-linked financing. Meeting sustainability targets allows us to access additional funding, which keeps us accountable,” Coker explained.

Previously the CEO of Rack Centre, Coker noted OADC’s ambition to become the data centre hub for West Africa. The Tier III-certified facility features a 33,000-volt power supply and an 11kV distribution network, with dedicated transformers and power distribution rooms for each phase.

OADC highlighted the importance of the Lagos facility to Nigeria’s digital ecosystem, supporting cloud services, content delivery, and enterprise connectivity.

“The project timeline is about 18 months, though projects like this typically take more than two years due to the complexity of design and execution,” Coker added.

Further expansion plans include exploring other Nigerian locations and African markets like the Democratic Republic of Congo and South Africa. OADC aims to be a key player in Africa’s data centre market, driven by rising demand for cloud computing, AI, and enhanced internet connectivity. The company operates data centres in Lagos, Kinshasa, and across South Africa in Johannesburg, Durban, and Cape Town.