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NSIA Motorways Investment Company (NMIC), a motorway subsidiary of the Nigeria Sovereign Investment Authority (NSIA), and Julius Berger Investments Ltd. (JBI) have signed a Cooperation Agreement for NMIC to act as financial investor in the Second Niger Bridge PPP project.
NMIC is substituting African Infrastructure Investment Managers (AIIM), the fund manager owned by Macquarie and Old Mutual Investment Group (South Africa) who was part of the winning consortium back in December 2012.
The Federal Government of Nigeria has committed to provide N30 billion (US$180 million) in return for non-voting shares in the project. The project cost is estimated at N117 billion (US$703 million).
The project will be developed on a design, build, finance, operate and transfer (DBFOT) basis for a period of 25 years. NSIA, through NMIC, will lead the consortium to raise the funding required for the execution of the project, while Julius Berger Nigeria Plc is expected to play the role of EPC contractor on the project.
The bridge, which forms part of the Arterial Route A232; Enugu-Onitsha-Asaba-Benin-Shagamu, is 1,590m in length and located 1.7km downstream of the existing bridge on a new alignment. To complement and add value to the second Niger Bridge, the Federal Government, with the support of the World Bank, will commence the procurement and construction of two by-passes to the bridge.
The first by-pass will be a connecting dual-carriageway from Arterial Route A232, Benin-Asaba Expressway, by-passing Asaba and its airport, to link the second Niger Bridge. The second by-pass will also be a connecting dual-carriageway from Arterial Route A232, Onitsha-Enugu Expressway to Arterial Route A6, Onitsha-Owerri Expressway by the new full Clover Interchange, which is a major part of the second Niger Bridge project, effectively by-passing Onitsha to link the new bridge.