Saturday 23rd September, 2017
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FG to rehabilitate Ajaokuta rail for $122m

FG to rehabilitate Ajaokuta rail for $122m

The Federal Execu­tive Council (FEC) approved a $122.62 (N37.39b) contract for the rehabilitation of Ajaokuta-Itakpe rail line, following a memorandum submitted by the Minister of Trans­port, Rotimi Amaechi.

Information Minis­ter, Lai Mohammed, who briefed newsmen on the development, said that it involved track laying, per­manent way works and ancillary facilities area and completion of 12 railway stations.

The contract is in favour of Messrs CCECC Nig Ltd, and is inclusive of all taxes at the prevailing CBN ex­change rate of one dollar to N305, with a completion period of 15 months.

According to him, Ajao­kuta to Warri track is in good condition and when the new contract is com­pleted, access to the seaport will be better for the evacu­ation of goods.

Mohammed disclosed that the Transport Ministry also submitted a memo for the interim phase arrange­ment for the concession of the Nigeria’s narrow gauge railway system which was approved.

He said that the approval was to issue a letter of con­sent to General Electric so that by October 2017 there would be full utilization of Lagos–Kano and Port Harcourt-Calabar–Maidu­guri line.