The Federal Executive Council (FEC) has approved a significant increase in funding for the Bodo-Bonny Road construction project in Rivers State, raising the estimated contract cost to N280 billion.
This decision emerged as one of the key resolutions during the FEC meeting held on Monday in Abuja, presided over by President Bola Tinubu.
The announcement of the revised estimated contract was shared in a statement posted on the official X (formerly Twitter) account of Bayo Onanuga, the Special Adviser on Information and Strategy to President Tinubu.
The statement noted that the project was initially awarded in 2014 for N120 billion and revised in 2021 to N199.9 billion. In addition to the increased funding, the FEC has granted an additional 12-month extension for the project’s completion, highlighting the government’s commitment to improving regional infrastructure.
“The council approved the revised estimated contract cost for constructing Bodo-Bonny Road with bridges across the Opobo Channel in Rivers State. The contract was awarded in 2014 for N120 billion and revised in 2021 to N199, 923,638,963.87. The FEC approved another increase to N280 billion, with an additional completion period of 12 months,” the statement read in part.
This FEC approval follows an earlier announcement by Minister of Works, David Umahi, who stated in June 2024 that the federal government had approved a final N280 billion for Julius Berger Nigeria PLC to complete the project.
What you should know
The Bodo-Bonny Road project is a 34-kilometer initiative initially awarded in 2014 for N120 billion, which includes the construction of 13 bridges: three major bridges and nine mini bridges, along with one bridge spanning a pipeline.
Funding for the project was originally structured with 50% (N60 billion) to be contributed by Nigeria LNG Limited, with the balance coming from the Federal Government.
This vital road will connect oil-rich Bonny Island to mainland Rivers State, traversing Bodo, Afa, Opobo, and Nanabie. Key features of the project include a 1000-meter bridge across Opobo Creek, a 640-meter bridge across Nanabie Creek, and a 550-meter bridge over Afa Creek.
Julius Berger Nigeria Plc is responsible for the construction, which was revived through a tripartite agreement involving the Federal Government of Nigeria, Nigeria LNG Limited, and Julius Berger.
The project was officially flagged off by then-Vice President Professor Yemi Osinbajo in October 2017.
Initially, the tripartite agreement stipulated that the project would be completed without additional funding. However, in 2021, Julius Berger requested an upward review of the contract, which the Federal Government initially resisted, citing the original agreement.
This led to the project being abandoned by the contractor, and the estimated contract was subsequently revised to N199.9 billion.
In June 2024, during an inspection visit to the site, the Minister of Works announced the federal government’s final approval of N280 billion following the contractor’s demand for an upward review, pending approval from the Federal Executive Council.
With the FEC’s approval of the revised contract and a 12-month delivery timeline, the project is now expected to be completed by September 2025, marking a significant advancement in regional infrastructure development.