$700m Port Upgrade Stalls Amid Delays in Mobilization

The planned $700 million rehabilitation of Nigeria’s Apapa and Tincan Island Ports, initially slated to begin in Q2 2025, has been delayed, with contractors yet to move to site.

The Nigerian Ports Authority (NPA) had earlier secured funding through a $700 million loan from Citibank, backed by the UK Export Finance agency, for the rehabilitation of the two Lagos ports. In addition, discussions are ongoing with another financier to support infrastructure upgrades at the Eastern Ports—Calabar, Warri, Onne, Rivers—and the Escravos Breakwater project.

Former NPA Managing Director, Mohammed Bello-Koko, during the signing of the mandate letter with Citibank Nigeria, confirmed that the agreement would be reviewed by the Debt Management Office. He had assured that funding was ready and construction would begin shortly.

By January, NPA’s General Manager of Corporate and Strategic Communications, Ikechukwu Onyemekara, stated that all required documentation had been submitted, including the Environmental Impact Assessment, agency memos, and an independent financial review. He projected that mobilisation would commence in the second quarter of the year.

“The loan is fully secured. UK Export Finance asked for a few additional documents, which we’ve already submitted. So, we expect mobilisation to begin in Q2,” Onyemekara said.

Despite these assurances, progress remains stalled. In July, new NPA Managing Director Dr. Abubakar Dantsoho reaffirmed the agency’s commitment to fast-tracking repairs and improving port infrastructure to boost operational efficiency and revenue.

However, as of now, no physical work has begun. A source within the NPA confirmed that contractors have not mobilised but hinted that activity may begin “in the next few months.”