General Electric shows interest in $2 billion Nigerian railway concession project

General Electric shows interest in $2 billion Nigerian railway concession project

Oct 13, 2016: General Electric (GE) confirmed its keen interest in acquiring a Nigeria railway concession project worth around $2 billion, the company said.

Nigerian President Muhammadu Buhari said this month that GE would be investing $2.2 billion in a concession to revamp, provide rolling stock, and manage some of the country's railways.

"Given the size and scope of the proposed project, it is likely that the debt and equity commitments required from lenders, consortium partners and other co-developers will be in the range of $2 billion or more," GE said in a statement.

It said the concession was in the formal procurement process.

Nigeria has been looking for partners to overhaul its ageing railway system, which was mainly built by British colonial rulers before the country's independence in 1960.

The West African nation has also signed two deals worth around $5 billion with China Civil Engineering Construction Corp (CCECC), part of China's state-owned railway construction firm, to modernise and build railways in the north and south of the country, the Nigerian transport ministry said last month.

Growth in Nigeria - an OPEC member whose economy has slipped into recession for the first time in more than 20 years after being hammered by low oil prices - has been stunted for decades by a lack of investment in roads and railways.

GE said the railway concession project came on top of around $150 million the firm was currently spending on capital expenditures in Nigeria as cited by a senior company executive last week.

Related Posts

Air Seychelles appoints Michael Berlouis as new CFO

Air Seychelles appoints Michae ...

Apr 29, 2017: Air Seychelles, the national airline of the Republic of Seychelles, has announced the appointm ...

Kenya Airways partners with KTB to enhance tourism in Kenya

Kenya Airways partners with KT ...

Apr 29, 2017: Kenya Airways has signed a strategic partnership with Kenya Tourism Board aiming to attract mo ...

Kenya Airways launches Cargo Express Centre at JKIA

Kenya Airways launches Cargo E ...

Apr 29, 2017: Kenya Airways has recently launched a Cargo Express Centre for premium cargo at Jomo Kenyatta ...

DHL to launch domestic delivery service in Malaysia

DHL to launch domestic deliver ...

Apr 29, 2017: To fulfil Malaysia’s growing e-commerce market Deutsche Post DHL Group has launched it&# ...