10-30-2017, 02:57 PM
The State Government of Osun on Thursday signed a concession agreement with All Works of Life (AWOL) International Limited for the completion of the MKO Abiola International Airport, Ido-Osun.
The signing of the concession agreement which is to annex the infrastructural development of the state was held at the State secretariat, Abere.
AWOL International Limited in partnership with a Turkish company, Biray Group are expected to complete the project within the span of 8 months.
The Chief Executive Officer, AWOL International Limited, Amb. Nurudeen Ogunlade, said the agreement is of great significance to both the concession and concessionaire.
According to him, the airport when completed will open the doors of trade and investment among neighbouring states in the southwest as well as add to the state’s economic value globally.
Enumerating facilities to be expected at the Corporate Airport, Amb. Ogunlade who heads the concessionaire held that aside the first phase to be completed before the last quarter of 2018, other amenities that befits the location and geographical area of an airport will be facilitated within 2 years.
His words “On the completion of the construction of First Phase of the Airport within the period of 8months, it will take off with five aircraft, three passengers helicopter and one cargo by AWOL International Company. To complete the entire establishment of the Airport with 5 Star Hotels including all amenities like Cultural center, Water Park Recreation Center and Garden, Butterfly Museum and Casinos, it will take the period of 2 years.”
“According to the airport’s design, it will facilitate the smooth movement of the people and goods from one point to other and serve as a channel way for tourism, hanger and cargo.”
He noted that the concession agreement was not in any way detrimental to the economy of the State as it will run for 30 years before it will be fully handed over to the State government commending the Governor for his efforts in giving the state enviable legacies for the future.
In his remarks, Governor, State of Osun, Ogbeni Rauf Aregbesola, said the government had wished to embark on the project and deliver at the appropriate time but was hampered by the financial situation of the country.
Giving a thorough breakdown of the state of the Airport before the concession arrangement, Ogbeni Aregbesola said the project at inception was financed through “flexible funding” with an appreciable level of the payment to the tune of N3.6bn.
The Governor said like other infrastructural projects, the airport financing method was effectively fashioned out to ensure its completion just as he expressed appreciation to the Turkish Firm for believing in the multi-various merits attached to the Airport if eventually completed.
Aregbesola said “We are doing something that is really extraordinary to make this state a light bearer of Nigeria. When I began the entire project; the airport, roads, the schools and other social infrastructures I was so sure that if there is no problem with the scheme of income definitely all these project will be completed. The arrangements we put on ground is to ensure effective completion of those project after all we did not use the conventional method of financing our project rather we brought to bear what we called ‘flexible funding’ which we pay the contractor as at when due through bank.”
“However, it was the change of the income scheme that constrained financially which made it impossible for us to continue with the project. But before the fund initiation from our scarce income we have expended on the project the sum of N2,926, 27,948.5 billion. The contractor handling the project has done certified work amounting to N3,667,178,112.15 billion meaning that outstanding for the contractor against the state is the sum of N640, 970,164.10 million and these amounts includes retention of N170, 609, 64.16million.”
According to the agreement, the concessionaire is expected to take 100% financing of the project.
The signing agreement was witnessed by the Chief of Staff to the Governor, Alhaji Gboyega Oyetola, Head of Service, Dr Oyegbade Olowogboyega, Attorney General and Commissioner for Justice, Dr Ajibola Basiru and the Economic Adviser to the Governor, Dr Teju Fagbeja among others.
source: http://www.pressnewsng.com.ng/2017/10/os...ional.html
The signing of the concession agreement which is to annex the infrastructural development of the state was held at the State secretariat, Abere.
AWOL International Limited in partnership with a Turkish company, Biray Group are expected to complete the project within the span of 8 months.
The Chief Executive Officer, AWOL International Limited, Amb. Nurudeen Ogunlade, said the agreement is of great significance to both the concession and concessionaire.
According to him, the airport when completed will open the doors of trade and investment among neighbouring states in the southwest as well as add to the state’s economic value globally.
Enumerating facilities to be expected at the Corporate Airport, Amb. Ogunlade who heads the concessionaire held that aside the first phase to be completed before the last quarter of 2018, other amenities that befits the location and geographical area of an airport will be facilitated within 2 years.
His words “On the completion of the construction of First Phase of the Airport within the period of 8months, it will take off with five aircraft, three passengers helicopter and one cargo by AWOL International Company. To complete the entire establishment of the Airport with 5 Star Hotels including all amenities like Cultural center, Water Park Recreation Center and Garden, Butterfly Museum and Casinos, it will take the period of 2 years.”
“According to the airport’s design, it will facilitate the smooth movement of the people and goods from one point to other and serve as a channel way for tourism, hanger and cargo.”
He noted that the concession agreement was not in any way detrimental to the economy of the State as it will run for 30 years before it will be fully handed over to the State government commending the Governor for his efforts in giving the state enviable legacies for the future.
In his remarks, Governor, State of Osun, Ogbeni Rauf Aregbesola, said the government had wished to embark on the project and deliver at the appropriate time but was hampered by the financial situation of the country.
Giving a thorough breakdown of the state of the Airport before the concession arrangement, Ogbeni Aregbesola said the project at inception was financed through “flexible funding” with an appreciable level of the payment to the tune of N3.6bn.
The Governor said like other infrastructural projects, the airport financing method was effectively fashioned out to ensure its completion just as he expressed appreciation to the Turkish Firm for believing in the multi-various merits attached to the Airport if eventually completed.
Aregbesola said “We are doing something that is really extraordinary to make this state a light bearer of Nigeria. When I began the entire project; the airport, roads, the schools and other social infrastructures I was so sure that if there is no problem with the scheme of income definitely all these project will be completed. The arrangements we put on ground is to ensure effective completion of those project after all we did not use the conventional method of financing our project rather we brought to bear what we called ‘flexible funding’ which we pay the contractor as at when due through bank.”
“However, it was the change of the income scheme that constrained financially which made it impossible for us to continue with the project. But before the fund initiation from our scarce income we have expended on the project the sum of N2,926, 27,948.5 billion. The contractor handling the project has done certified work amounting to N3,667,178,112.15 billion meaning that outstanding for the contractor against the state is the sum of N640, 970,164.10 million and these amounts includes retention of N170, 609, 64.16million.”
According to the agreement, the concessionaire is expected to take 100% financing of the project.
The signing agreement was witnessed by the Chief of Staff to the Governor, Alhaji Gboyega Oyetola, Head of Service, Dr Oyegbade Olowogboyega, Attorney General and Commissioner for Justice, Dr Ajibola Basiru and the Economic Adviser to the Governor, Dr Teju Fagbeja among others.
source: http://www.pressnewsng.com.ng/2017/10/os...ional.html