Railway
Checkout The New, Upgraded Ajaokuta-Itakpe-Warri Railway (PHOTOS)
Many have been yearning to see what the Ajaokuta-Itakpe-Warri Railway looks like, especially since the minister of transportation, Mr. Rotimi Ameachi said the edifice is ready for use.
It will be recalled that in October 2019, the federal government signed a 3.9 billion dollar agreement with the China Railway Construction Corporation (CRCC) for the construction of the Abuja-Itakpe railway.
Rotimi Amaechi, minister of transportation, announced the news in Abuja, the minister expressed hope that the project would be speedily completed.
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Related News: See The Newly Rehabilitated Agbor Railway Facilities At The Itakpe-Ajaokuta-Warri Ore Rail Line (PHOTOS)
“The signing ceremony is the first PPP railway agreement for Abuja-Baru-Itakpe and Lokoja and it is between Nigeria and CRCC,” he said.
“The agreement is supposed to be 15 per cent Nigeria equity and 10 per cent CRCC equity and then we borrow 75 per cent as SPV from the Chinese bank.
“Part of the agreement is that CRCCI will provide Nigeria with a performance bond from their bank before we give a sovereign guarantee for them to be able to borrow the 75 percent.
“There is a concession agreement that CRCCI will manage both the railway and the seaport and recover the 75 per cent and pay the money.
The Itakpe-Ajaokuta-Warri railway line has a total length of 276 km and links Warri in Delta State to Ajaokuta, in Kogi State. The rail line from Warri, passing through Itakpe, Ajaokuta, Agbor and Ore, and has six stations along the route. The line will ensure steel products and raw materials transport from the Delta Steel Company, in Aladja.
After construction works were performed for 254 km, the project was abandoned and in 2009, the project was with the Federal Government agreeing to pay USD 92.45 million (NGN 33 billion) for the design and completion of the remaining 22 km. The contract was awarded to Team Nigeria and Julius Berger, which were responsible for the construction of Ajaokuta-Warri section and construction of six stations and for the rehabilitation of the completed section. The two companies should complete the works in 2013.
In 2018, a consortium of General Electric and China’s Sinohydro was assigned to perform interim framework contract for rail track rehabilitation and management. Under the contract, the consortium was also responsible to supply Nigeria Railway Corporation 10 locomotives and 200 wagons.
In January, the Minister of Transportation, Mr Rotimi Amaechi, has said that the Itakpe-Warri rail line has been completed.
The rail service has 12 stations with two located between Itakpe, Ajaokuta and Warri.
They include Itakpe; Eganiy; Adobe; Itogbo; Agenebode; Uromi; Egehen; Igbanke; Agbor; Abraka; Okpara and Ujewu stations.
The line, which was started in 1987, was built to move iron ore from mines around Itakpe to the steelworks at Ajaokuta but was abandoned for many years before construction resumed during Buhari’s first term in office.
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