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

WFS reshuffles top management to sustain its global position

WFS reshuffles top management ...

May 24, 2017: WFS has appointed new heads for their leading team for cargo operations and ground handling. W ...

K+N announces strategic cooperation to support the Shanghai to Taicang Express in China

K+N announces strategic cooper ...

May 24, 2017: Logistics giant Kuehne + Nagel has signed a strategic cooperation with Jiangsu Taicang Port Au ...

Mobilitas-AGS inaugurates multimodal logistics platform in Africa

Mobilitas-AGS inaugurates mult ...

May 24, 2017: The Mobilitas-AGS group’s new multimodal logistics platform has been delivered in Gauten ...

Network Airline Managment renews contract with TAAG Angola Airlines

Network Airline Managment rene ...

May 24, 2017: Network Airline Managment and TAAG Angola Airlines, the national airline of Angola has renewed ...