The Federal Government has proposed a 30% advance payment from Nigeria LNG to expedite the Bodo-Bonny road project in Rivers State.
This initiative follows the Federal Executive Council’s approval to boost the project’s funding to N280 billion.
Minister of Works David Umahi announced this development during a meeting with Julius Berger (Nig.) Plc, as detailed in a statement on the Ministry’s website.
The advance payment is aimed at accelerating the construction timeline and improving infrastructure in the region.
Umahi emphasized the critical need for Julius Berger to mobilize in multiple locations to meet the extended deadline of September 2025, with construction set to commence at least from three sites.
He explained that the proposed 30% advance payment from NLNG is intended to counter inflation and ensure steady progress on the project.
This approach aims to maintain the fixed contract sum of N280 billion and prevent any further delays in the construction of the Bodo-Bonny road.
He stated, “We don’t think we have any issue. We’ve agreed on the N280 billion, which is the new contract sum that is fixed, and then for a 12-month completion period; that is an additional 12 months. So, we want you to mobilize in a minimum of three locations. So that within these 12 months, we’ll be able to finish the job.
“In the letter to NLNG, we have to also propose 30% advance payment, so that they will be able to have enough funds to mitigate inflation and any form of variation.”
According to the statement, the meeting concluded with a formal handover of the updated Letters of Award to Julius Berger, which outlined key contract terms. The agreement is fixed, firm, and non-transferable, and it will automatically terminate at the end of the agreed period unless formally reviewed by the Ministry.
This step reinforces the government’s commitment to the timely execution of the Bodo-Bonny road project.
The Bodo-Bonny project, initially awarded in 2014 for N120 billion and revised to N199.9 billion in 2021, aims to significantly enhance regional connectivity by linking Bonny Island to the mainland of Rivers State through a network of essential bridges and roadways.
Spanning 34 kilometers, the project includes the construction of 13 bridges, featuring three major structures, such as a 1,000-meter bridge over Opobo Creek, as well as nine mini-bridges and a pipeline-spanning bridge.
This infrastructure is anticipated to improve access to Bonny Island, bolster transport links, and support economic activities in the region.
Originally, the project’s funding was structured as a joint effort between the Federal Government and Nigeria LNG (NLNG), with each party contributing 50% of the costs.
However, construction faced setbacks in 2021 when Julius Berger requested a budget revision, leading to a temporary halt in progress.
