KEY POINTS

• SGF George Akume inaugurated an inter-agency panel to rigorously assess a proposed $200 billion gas power rail project submitted by De-Sadel and China Liancai Petroleum, calling for the highest level of professionalism
• The committee will verify proof of funds, assess financial and sovereign risk, review the financing model and evaluate the technical capacity of promoters before advising on Federal Executive Council readiness
• De-Sadel MD Samuel Ukoh said the first phase covers a 1,700km corridor with trains running at 350 kilometers per hour, cutting Lagos-Abuja travel time to about two hours and 30 minutes

Secretary to the Government of the Federation George Akume on Thursday inaugurated an inter-agency technical committee in Abuja to assess a proposed $200 billion gas power rail project, one that promoters describe as the most ambitious infrastructure proposal in Nigeria’s history.

The committee will evaluate a submission by De-Sadel (Nig.) Limited in partnership with China Liancai Petroleum Investment Holdings Limited, covering gas development, power generation and a 4,000-kilometer high-speed rail network. “I urge you to approach this assignment with the highest level of professionalism, objectivity and patriotism. Your recommendations will guide decisions at the highest level,” Akume said.

Panel to verify funds, probe financial and technical viability

Akume also stressed that the scale and complexity of the proposal demand rigorous scrutiny. Furthermore, he said the government must satisfy itself on technical viability, financial structure and regulatory compliance before taking any decision. He noted that his office had already received inputs from security, financial intelligence and regulatory agencies on the project’s financing arrangements and participating entities.

The committee, chaired by the Permanent Secretary, Political and Economic Affairs Office in the SGF’s office, includes representatives from the Ministries of Transportation, Petroleum Resources, Finance, Justice and Environment, as well as EFCC, the Central Bank of Nigeria and security agencies including the DSS and National Intelligence Agency.

De-Sadel chief outlines scope of 4,000-kilometer rail network

Additionally, De-Sadel Managing Director Samuel Ukoh said the gas power rail initiative would deliver a nationwide rail network, gas-based power generation, fiber optic connectivity and real estate development.

He said the first phase covers a 1,700km corridor linking Abuja, Lagos, Kano and Port Harcourt, with trains running at up to 350 kilometers per hour, cutting Lagos-Abuja travel time to about two hours and 30 minutes.

Moreover, Ukoh said the initial phase would generate about 3,500MW of electricity to power the rail system, while the full project targets 8,500MW.