Presidency orders relocation of $500m port project to Bayelsa

Presidency orders relocation of $500m port project to Bayelsa

Citing presidential order, the Nigerian Ports Authority (NPA) has
directed the management of LADOL Integrated Logistics to relocate its
ongoing $500million fabrication and integrated yards project in Takwa
Bay within Apapa pilotage area in Lagos State to Aggey, Bayelsa State.

But the company’s management described the directive as “shocking’’
and out of tone with the agreement it entered into with its technical
partners and the federal government.

The one paragraph letter was dated April 27, 2015, and signed by
NPA’s General Manager (Capital Project), A.R. Mohammed, on behalf
of the Managing Director.

It was titled: “Re: Joint Venture Partnership with Samsung Heavy
Industries for the USD$500 Million development of fabrication and
integration yards for EGINA and Future Projects”.

The letter read: “Please, be informed that Mr President has via PRESS/
S9/MT/212 of April 20, 2015 approved that the FPSO (Floating
Production Storage & Offloading) project can be located at Agge,
Bayelsa State when the facilities to handle such operations are
developed. In addition, the project can be conveniently located at any
dedicated Oil and Gas Terminal”.

Meanwhile, the President, according to NPA, has approved that
henceforth; all oil and gas related cargoes must be handled only at
the designated terminals in Onne, Warri and Calabar ports.

The directives signed on behalf of NPA Managing Director by General
Manager (M&O), A.A. Goje, said: “In view of this, vessels coming to
Nigeria with oil & gas related cargo excluding petroleum products are
advised to first go to the appropriate NPA concessioned terminals to
be cleared by customs and other relevant authorities, terminal
operators, shipping lines among others”.

The directive also advised owners of such vessels to pay necessary
dues/charges and obtain releases “before proceeding to locations for
final discharge, including those meant for LADOL.

Reacting to the development, yesterday, the Managing Director of
LADOL, Dr. Amy Jadesimi said the company was shocked by the
development.

She explained that it would send wrong signals to private investors
and foreign technical partners, pointing out that a lot of resources
have been deployed to put the facilities in place.