The Federal Executive Council on Wednesday approved N35 billion for the building of a power station by the Nigerian Export Processing Zone Authority in Akamkpa, Cross River State.
The Minister of Industry, Trade and Investment, Niyi Adebayo, said this on Wednesday after the federal cabinet meeting held at the Presidential Villa, Abuja.
He said the contract for the power station to power the Calabar Export Processing Zone was awarded to Messrs Mutual Commitment Nigeria Limited.
Adebayo said the extract contract sum is N35,411,119,159.47 and that the contractor will finance 75 percent of the project, which is in the sum of N26,558,339,337.10 while the NEPZA would finance 25 percent which translate to N8,852,779,792.37.
The minister said council approved a payback period of 10 years of the contractor’s portion.
Adebayo said on completion after 11 months, the plant would be operated by the contractor for five years during which they will build local capacity that will take over the running of the plant.
The Minister of Mines and Steel Development, Olamilekan Adegbite, said council approved the categorization of Aluminum Smelting Company of Nigeria that is in Ikot Abasi, Akwa Ibom State, as a power producing and strategic company.
With the approval, Adegbite said the production of aluminum would start in Nigeria.
