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FEC approves N100bn contracts

Federal Executive Council yesterday approved various contracts totaling N100.3billion aimed at expanding infrastructural development nationwide.
The projects that got special attention include the upgrading of the 15 kilometres of the East-West Road Section III: Port Harcourt (Eleme Junction) to Onne Port Junction Road in Rivers State.
The new East West road contract was awarded to Messrs Reynolds Construction Company at the cost of N43,869,381,730.23 with a completion period of 18 months.
Supervising Minister of Information, Dr. Nurudeen Mohammed, disclosed this while briefing State House Correspondents after the FEC meeting presided over by President Goodluck Jonathan.
Mohammed, who briefed  newsmen alongside the Ministers of FCT, Bala Mohammed; Niger Delta Affairs, Stephen Oru; and Water Resources, Sarah Ochekpe, stated that FEC also approved contracts for the completion of Abuja’s Millennium Towers and Cultural Centre and for the provision of potable water for some parts of Kwara State.
He also said that the Central Bank of Nigeria (CBN) Governor, Godwin Emefiele, had briefed FEC on the introduction of commemorative N100 banknotes to celebrate Nigeria’s Centenary.
FEC noted that when the original contract for the dualization of the East West Road Section III (Port Harcourt to Eket) was awarded in 2006, the 15Kilometres section between Port Harcourt and Onne Port Junction which was dualized in 1999, was in fair condition and was therefore not included in the major reconstruction.
“This critical road also gives access to the strategic Onne Free Trade Zone where 15 companies with a total investment worth $6billion USD, operate from.
Minister of Niger Delta Affairs, Chief Steve Oruh disclosed that the overall cost of the project was also extensively deliberated at FEC, adding that the high cost was influenced by the high number of bridges, about of such six of them and  anticipated axial load and the pavement section.
Speaking further on contracts for the development of infrastructure in the Federal Capital Territory,  FCT, The Minister, Bala Mohammed explained that an upward review of contract for provision of engineering infrastructure at Wuye District to the tune of N3.4 billion was approved by the cabinet.
The minister of FCT had presented a memo for the award of contract for the construction of one service carriageway (14km) of Inner Northern Expressway (INEX) from ring road 111 to ring road IV Abuja Industrial Park in favour of Messrs Salini Nig Ltd, in the sum of N7,179,322,294.15 with a completion period of 24months.
The INEX is one of the key planned expressways provided in the Abuja master plan connecting to the ring roads from the central area through phases I, II, III and IV, terminating at the Outer Northern Expressway (ONEX).
The road is being undertaken in phases with the right hand service carriage way already developed between the ring road II and ring road III bounding Karimo district.
Council also approved the award of contract for consultancy services for the construction of Nigeria’s Cultural Centre and Millennium tower project in Abuja in favour of Messers Sal Consults in the sum of N383, 147,078.13. The consultants are to review the designs, monitor the project and offer full quantity surveying.
The Minister noted that an anticipatory approval was granted by President Olusegun Obasanjo in 2006  for the consultancy services and the several due processes, procedures and negotiations over these years involving the BPP FCTA and the Consultants.
Council also approved the award  of another contract for the provision of access road and engineering infrastructure to plot 1458 and adjoining plots around Hot FM in Gudu District in the sum of N1,794,778,172.88 in favour of Messers Sageto Limited with a completion period of 17months.
FEC further approved the award of contract for the extension of Inner Southern Expressway from Southern Parkway (58/59) to ring Road II in the Federal Capital Territory, Abuja to Messrs CGC Nig. Ltd in the sum of N43,458,849,973.94 with a completion period of 30 months.
“The FCT Minister also presented a memo seeking for the upward review of the contract sum for the provision of engineering infrastructure of Wuye District. The minister informed council that the purpose of the memorandum is to seek council’s approval for the upward review of the contract sum for the provision of engineering infrastructure at Wuye district in favour of Messrs Arab Contractors (O.A.O) Nigeria ltd, in the sum of N3,431,290,231.20 (Three Billion, Four Hundred and Thirty One Million, Two Hundred and Thirty One Naira  Twenty Kobo Only) thereby revising the contract sum from N39, 681,137,736,46 to N43,112,427,967.67 to accommodate the construction of a flyover bridge at Wuye District , the interaction of of Arterial Road N1/Ring Road 1 being Nnamdi Azimiwe Road, as additional work to the contract with an additional completion period of 20 months.”
Council deliberated extensively, particularly on the history of the project which was first awarded in August 2009 and expressed satisfaction with the 67 per cent level of completion reached and the significance of the additional works proposed and approved the memo.
The last contract  approved by the FEC was for the award of contract presented by the Minister of Water Resources for the revised estimated total cost of the contract for the construction and upgrading of the Molete Water Works in Kwara State in favour of Messrs Turning Point Engineering Limited in the sum of N117,483,450, to bring the total cost of the project from the initial contract sum of N903,669,651.29 to a revised total cost of N1,021,153,101.29 with an extended completion period of 3 months.
Mrs Ochekpe said that the project, when completed will provide water to the 17,000 inhabitants in the community, including the Kwara State University.



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