Federal Government Signs N11.5bn Road Construction Deal With Dangote Group

share on:
Dangote

The Dangote Group on Tuesday announced that it had signed a contract with the Federal Government for the construction of a 42.5 km Obajana-Kabba Road in Kogi State.

According to a statement given in Abuja by the regional spokesman of the group, Mr Jibrin Abubakar, work will commence in full on the project after signing the document in Abuja.

The Permanent Secretary, Federal Ministry of Power, Works and Housing, Magaji Gusau, signed on behalf of the Federal Government, while the Adviser to the President of the Dangote Group, Joseph Makoju, signed on behalf of the conglomerate. Mr. Makoju added that the exercise was a milestone in the history of Nigeria.

The project will cost the group N11.5 billion but the job was awarded on tax concession basis at N5.24 billion. The rigid pavement is to be built by the AG-Dangote Construction Company.

The difference of N6.2 billion is part of the corporate social responsibility of the Group. The Managing Director of the AG-Dangote, Ashif Juma, said the contract duration was 24 months, but that the Group had set a target for its completion at 16 months.

Leave a Reply