• The Federal Government has set up an inter-agency committee to assess a proposed $200bn gas-powered high-speed rail project
• The rail network is expected to cover about 4,000 kilometres across Nigeria spanning Lagos, Abuja, Kano, and Port Harcourt
• The project integrates rail transport with gas development, power generation, and transmission

The Federal Government has inaugurated an inter-agency committee to evaluate the feasibility of a proposed $200bn gas-powered high-speed rail project expected to span approximately 4,000 kilometres across Nigeria.

The committee was inaugurated on Thursday, April 9, in Abuja by the Secretary to the Government of the Federation, George Akume, who stated that the panel would thoroughly assess the credibility of the proposal submitted by a consortium led by De-Sadel Nigeria Limited in partnership with China Liancai Petroleum Investment Holdings Limited.

According to Akume, the ambitious project is designed to connect key economic corridors, including Lagos, Abuja, Kano, and Port Harcourt, while integrating rail infrastructure with gas development, power generation, and transmission systems.

He, however, emphasised the need for due diligence before any approval is granted.

“Project of this magnitude must therefore be carefully evaluated to ensure that they align with national priorities, are technically sound, financially viable and fully compliant with Nigeria’s legal and regulatory frameworks,” Akume stated.

He explained that the proposal involves the “construction of a 4,000-kilometre high-speed rail network connecting major economic corridors of the country, including Lagos, Abuja, Kano, and Port Harcourt.”

Akume further revealed that the Office of the Secretary to the Government of the Federation had already received inputs from security, financial intelligence, and regulatory agencies, necessitating a coordinated and comprehensive review process.

The committee, he said, would verify the financial claims of the promoters, including proof of funds, and assess the technical, legal, and environmental aspects of the project.

He added that the panel would also scrutinise the financing structure, the competence of technical partners, regulatory compliance, and potential security and financial risks.

“The terms of reference of this committee are: financial verification and proof of funds, coordinated multi-agency verification of all financial documents submitted to validate the authenticity, sufficiency, source and conditions for drawdown of proposed funds,” he said.

Akume noted that the panel would also review governance structures and assess risks associated with the proposed public-private partnership model.

“Consolidate observations from security and financial intelligence agencies; to identify potential national security, financial crime and reputational risk, and recommend mitigation measures and conditionalities for project advancement,” he added.

He concluded that the committee is expected to submit an objective, evidence-based report that will guide the Federal Government’s final decision on the project.

Lagos to complete 68km Green Line rail project in 1 go

Meanwhile, TheRadar earlier reported that the Lagos State Government announced plans to complete the 68-kilometre Green Line rail project in its entirety, rather than in phases. The project, stretching from Marina to the Lekki Free Zone, aimed to enhance public transportation, reduce reliance on private vehicles, and improve overall mobility in the state.

The Lagos Metropolitan Area Transport Authority (LAMATA) shared updates on the project’s progress, including the unveiling of the full route alignment.