Project proposal received
Proposal received by the Federal Ministry of Transport
Nigerian Ports Authority
The development of Lekki Deep Sea Port has been conceptualized on the basis of a significant gap in projected demand and capacity. Market studies indicate that the demand for containers is expected to grow at a CAGR of 12.9% up to 2025. However, given the expansion constraints on the existing infrastructure, the capacity in Lagos is incapable to meet the growing demand. The capacity shortfall for container terminal facilities in Lagos is projected to be 0.8 million TEUs in 2016 going up to 5.5 million TEUs in 2025. The strategic location, optimized layout, and modern facilities provide Lekki Port a distinct competitive edge over any other port facility in the West Africa region.
When completed, the port will feature three operational sub-concessions for the container terminal, liquid terminal, and dry bulk terminal. Container terminal: will have a 1,200m long quay, three container berths, and a storage yard with more than 15,000 ground slots. The general arrangement of the container storage and handling area shall consist of a stacked container arrangement. The terminal is designed to support a throughput of 2.5 million TEUs annually. Liquid terminal: the liquid berth planned for Lekki Deep Sea Port will be capable of servicing vessels up to the size of 45,000 DWT initially, with design flexibility for expansions, catering to an increase to a capacity of 160,000 DWT. Liquids like finished products (petrol, diesel) could be handled with storage in a tank farm also located in the Lagos Free Trade Zone close to the port site. The berth will be equipped with loading arms and connected by pipelines running along the breakwater to carry cargoes between the tank farm and the vessels. Dry bulk terminal: located on the western side of the container berths, the dry bulk terminal will be situated close to the turning circle. Available quay length of about 300m will be sufficient to accommodate one berth for a Panamax size vessel (75,000 DWT). The products to be handled as cargo will range from dry to hygroscopic products such as grains, raw sugar, and fertilisers. The movement of the bulk cargo to the storage areas, like silos and warehouses, will be handled by covered conveyor systems, along a corridor of about 25m. The facility is intended to handle around 4 million mt of dry bulk per year.
The port will serve as a modern facility that can handle 1.5 million twenty-foot equivalent units (TEUs) per year. To provide berthing for larger vessels, which is the growing global trend in the transport sector, Lekki Port will be equipped with the best infrastructure and terminal services to attract and maintain large-volume shipping line customers. Facilities at the port will include well-designed marine infrastructure, container, dry bulk, and liquid terminals, making it a truly multi-purpose port.
The project is a 45-year concession awarded by the Nigerian Ports Authority, on a build, own, operate, and transfer (BOOT) model. Further rationale for the Lekki Port capacity: 1. Container demand growing at 1.9 x GDP growth over the past two decades @ CAGR of 13% +. 2. Lagos accounts for 90% of the container throughput in Nigeria. 3. Capacity constraints at Lagos Port due to: i. limitation of draught, storage area, and equipment; ii. expansion and road access limitation; and iii. potential safety hazards. 4. Lekki Port will help to bridge the projected demand-capacity gap by: i. accommodating larger vessels; ii. optimized storage area and ease of expansion; iii. modern equipment; and iv. facilitatation of relocation of tank farms.
Information will be published as soon as it is available.
The concessionaire is making concerted efforts at achieving financial close and fulfilling other conditions precedent.
Proposal received by the Federal Ministry of Transport
FEC gives project go ahead.
NPA approved Final Technical Drawings
Signing of agrrement
ICRC gave ‘Project’ No Objection”
US$629m financing agreement signed by Lekki Port LFTZ Enterprise & the Chinese Devt. Bank
Contract expires after 45 years
HE President Muhammadu Buhari GCFR officially flagged off the Lekki Deep Seaport Project on 29th March 2018 in Lekki, Lagos state.
President Muhammadu Buhari is set to lay a foundation stone for the $1.5 billion Lekki Deep Seaport, the first in the country.
The seaport situated at the heart of the Lagos Free Trade Zone, will be one of the most modern ports in West Africa, offering enormous support to the burgeoning commercial operations across Nigeria and the entire West Africa.
When completed, the port will have three container berths, one dry bulk berth, three liquid berths, 16.5-meter draught, 600-meter turning cycle and a 2.7 million Twenty Foot Equivalent Unit (TEUs) per year.
Built on more than 90 hectares of land, the Lekki port is situated 65 kilometers east of Lagos city and its is billed to be completed in 2020.
According to Lekki Port LFTZ Enterprise, “the development of Lekki Deep Sea Port has been conceptualised on the basis of a significant gap in projected demand and capacity.
Market studies indicate that the demand for containers is expected to grow at a CAGR of 12.9 per cent up to 2025. However, given the expansion constraints on the existing infrastructure, the capacity in Lagos is incapable to meet the growing demand.
“The capacity shortfall for container terminal facilities in Lagos was projected to be 0.8 million TEUs in 2016 going up to 5.5 million TEUs in 2025.
The strategic location, flexible and optimised layout and modern facilities provide Lekki port a distinct competitive edge over any other port facility in West Africa.”
Following the dilution of equity holdings amongst the shareholders and adoption of China Harbour Engineering LTFZ Enterprise (CHELE) as a co-investors in the project, a revised Concession Agreement and the Shareholding Agreement on the Lekki Deep Water Port project in December, 2018