By Godswill Michael
Nigeria has secured a fresh commitment from global port operator APM Terminals to pursue the development of the proposed Badagry Deep-Seaport, opening a new phase in efforts to expand the country’s capacity to handle international cargo and compete for regional transshipment business.
The Federal Ministry of Marine and Blue Economy, in a statement on Tuesday, said APM Terminals signed a Memorandum of Understanding (MoU) with Badagry Port Development Limited and Quinn McGrath Marine and Environmental Services Limited in Copenhagen on Monday.
The agreement commits the parties to exclusive negotiations over APM Terminals’ potential involvement in the greenfield project, moving the company’s interest beyond a general expression of intent.
The deal was reached during the Minister of Marine and Blue Economy, Adegboyega Oyetola’s, visit to Denmark with a Federal Government delegation to strengthen maritime cooperation and attract fresh investment into Nigeria’s port infrastructure.
Under the arrangement, APM Terminals will explore the development of the Badagry facility, which the government expects to provide additional deepwater capacity and enable Nigeria to receive larger container vessels than can be efficiently accommodated at some of its existing city-based ports.
The development also forms part of APM Terminals’ broader investment strategy in Nigeria. During the Copenhagen discussions, the company and the Federal Government also considered possible extensions of APM Terminals’ concessions at the Lagos Port Complex, Apapa, and the West Africa Container Terminal (WACT) in Onne.
Oyetola said the government was leveraging partnerships with established international operators to develop the infrastructure needed to expand Nigeria’s maritime economy.
“Our engagement in Denmark underscores the Federal Government’s commitment to modernising Nigeria’s maritime infrastructure and unlocking the full potential of our blue economy. Partnering with global terminal operators like APM Terminals to explore strategic greenfield developments such as the Badagry Port is central to President Bola Ahmed Tinubu’s vision of positioning Nigeria as West Africa’s premier trade and logistics hub,” Oyetola said.
The agreement’s significance extends beyond the construction of another port, as the Badagry project could alter Nigeria’s position within the regional cargo chain.
A deepwater facility at Badagry could provide shipping lines with another entry point into Nigeria while creating additional capacity for cargo moving to other West and Central African markets. It could also help distribute cargo-handling activities beyond the existing Lagos port cluster.
APM Terminals’ Managing Director for Africa and Europe, Igor van den Essen, said the company viewed additional investment in Nigeria as a long-term contribution to the country’s trading ambitions.
“APM Terminals is keen to contribute to Nigeria’s economic growth and position as a trade hub in West Africa. We believe further investing long-term in our concessions in Apapa and Onne helps doing that, and we were pleased to have a constructive dialogue about this today. Additionally, developing Badagry as a greenfield project will further ease congestion in city ports and further open new opportunities,” van den Essen said.
He said the company was encouraged by the government’s efforts to improve Nigeria’s competitiveness in the international trading system.
“APM Terminals is encouraged by the Nigerian government’s ambition to expand trade, attract investment, and strengthen the country’s position as a leading maritime gateway in West Africa, and we are proud to play a part in that ambition,” he said.
Van den Essen added that public-private partnerships could provide the long-term capital and operational expertise required to support the government’s maritime ambitions.
“We strongly believe that public-private partnerships help us deliver results that support growth because they drive long-term investment, a better business environment and, thereby, competitiveness in a rapidly developing market,” he said.
The project developer also described the agreement as a turning point for the proposed port.
The Managing Director of Badagry Port Development Limited, Ndiomu, said the proposed partnership could redefine Nigeria’s maritime ambitions.
“Investing in maritime infrastructure and especially in Badagry as a greenfield port project together with APM Terminals is the beginning of Nigeria becoming the true maritime capital of sub-Saharan Africa in full alignment with the government of President Bola Ahmed Tinubu’s ambitious maritime growth strategy,” Ndiomu said.
The Badagry project has been on Nigeria’s port-development agenda for several years, with previous plans envisaging a large-scale deepwater facility west of Lagos.
The latest agreement, however, gives the project a new commercial dimension by bringing APM Terminals into exclusive negotiations over its potential development.
The Federal Government said the proposed port would complement existing infrastructure by accommodating larger container vessels, increasing cargo-handling capacity and creating opportunities for transshipment.
The project could also enable Nigeria to compete more aggressively for cargo currently routed through other regional maritime hubs, while providing importers and exporters with an additional gateway for moving goods into and out of the country.