Lagos Signs NGN844 Billion Mega MoU For The Construction Of The Fourth Mainland Bridge

As a follow up to its promise that the memorandum of Understanding, MOU for the construction of the The Fourth Mainland Bridge will be signed before May 29th 2016, Akinwunmi Ambode, the state governor, has just signed the MoU in Lagos.

In a statement released on the governor’s website, ‘the 38km bridge and expressway will become the longest bridge and expressway anywhere when completed’. The cost of the bridge has been estimated to cost about NGN 844 billion. This approximately 13% of Nigeria’s 2016 annual budget. However, African Finance Corporation and Access Bank, a tier 2 bank in Nigeria, are the major financiers of the project.

Akinwunmi Ambode.
Akinwunmi Ambode.

According to him, “the significance of this bridge will be fully appreciated if we can imagine Lagos of today without the 3rd Mainland Bridge. Almost Thirty years after the delivery of the 3rd Mainland Bridge; the State has experienced phenomenal growth to become a megalopolis – a city-State with a population of over 21 million people.  The increase in the State’s population and expanded commercial activity has led to frequent traffic congestion. This has made it imperative for us to have a 4th Mainland Bridge that will serve as an alternative route to the Eastern axis and decongest traffic in the State

According to the statement, the bridge is expected to provide the required transportation compliment to the rapidly growing industrial activities on the Eti-Osa – Lekki – Epe corridor of the State. The proposed alignment passes through Lekki, Langbasa and Baiyeiku towns along the shoreline of the Lagos Lagoon estuaries, further running through Igbogbo River Basin and crossing the Lagos Lagoon estuaries to Itamaga Area in Ikorodu. It then crosses the Itoikin road and the Ikorodu – Sagamu Road to connect Isawo inward Lagos Ibadan Expressway at Ojodu Berger axis. The Bridge would be made up of 8 interchanges to facilitate effective interconnectivity between different parts of the State.

Also this structure will be a Four-lane dual carriageway with each comprising 3 lanes and 2metres hard shoulder on each side. The bridge will be constructed to have a generous median to allow for both future carriageway expansion and light rail facility.

Giving a hint of the process put in motion, the governor added that “We have started the process with the signing of this MOU which is an expression of the commitment of major stakeholders including the government and the consortium of consultants and investors to the delivery of the project within the scheduled time frame“.

Lagos state is putting in motion various construction projects. Yesterday, the state unveiled a master plan for construction of a mega bus terminal in Oshodi, the busiest bus interchange in the city. The interchange will be completed for a total of 70 million to be completed in the next 13 months.

Lagos is Nigeria’s largest economy and Africa’s fifth largest economy by GDP. The state’s Q1 2016 revenue grew from NGN 101.6 billion in Q1 2015 to NGN 97.28 billion. This is an impressive percentage growth of 4.4% growth year on year.

Julius Berger, the construction company behind the Third Mainland Bridge has been appointed as the major company to handle the project. The largest civil construction company in West Africa, the scale of the project would require such expertise.

Shares of Julius Berger [JBERGER:NL] currently trades at NGN 40.05 per share. The company’s stock has fallen by about 9.9% in the past 12 months.

 

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