First phase of railway project 'awarded to CCECC'

28 October 2009

The first section of the Nigerian Railway modernisation project has been signed over to the China Civil and Engineering Construction Corporation (CCECC) - and the second leg could be ready to follow suit.

The Abuja-Kaduna deal was awarded after a financial re-evaluation brought the contract price down from $8.3 billion (£5.07 billion) to $875 million.

Minister of transport Ibrahim Isa-Bio explained the cost re-adjustment took place when the plan came into funding difficulties and the value of oil fell.

Additional changes to the project included its division into five separate segments.

The second of these, Lagos-Ibadan, could be nearly ready to follow the lead of the first.

"It may interest you to know that the second segment of the project ... is almost ready for award. Barring any hitches, the contract will be awarded at the latest by the middle of next month," Mr Isa-Bio was quoted by the Nigeria Vanguard as revealing.

The expressway between these destinations was recently concessioned to Bi-Courtney Highway Services.

Category: Transport

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