Nigerian Naval Dockyard Paves The Way For The Construction Of LPG Coastal Transportation Barges.

Home » News » Nigerian Naval Dockyard Paves The Way For The Construction Of LPG Coastal Transportation Barges.

The Naval Dockyard Limited inked a significant agreement with Dateline Energy Services Limited paving the way for the construction of 4,000 metric tonnes of Liquified Petroleum Gas (LPG) Coastal Transportation Barges. The momentous event, held in Lagos, signifies a pivotal development for both institutions and Nigeria as a whole.

During the official signing ceremony, Vice Admiral Emmanuel Ogalla, Chief of Naval Staff, emphasized the transformative potential of this project. He highlighted that its completion would catalyze Research and Development. It would boost indigenous vessel construction and foster local content development within the country. Rear Admiral Hamza Kaoje, representing Vice Admiral Ogalla, reiterated that this collaboration would generate employment opportunities.

Rise of Coastal Transportation Barge Operations In Lagos Ports, Nigeria.

In response to congestion woes at Lagos ports, the use of barges for container and cargo transport through Lagos waterways has surged since 2018. The congestion crisis, costing Nigeria $55 million daily, led stakeholders to recommend barge usage to alleviate the issue. The Nigerian Ports Authority (NPA) and AP Moller Capital signed an MOU to adopt barges as a sustainable transportation mode. With over 500,000 containers moved via barges since. Barge operations have also generated over 25,000 jobs, but operators face challenges including multiple taxation and piracy.

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Vice Admiral Ogalla expressed his enthusiasm, stating, “This ceremony marks a significant and important milestone for Nigeria at large. The proposed construction of the 4,000 metric tons LPG Coastal Gas Transportation Barge demonstrates the nation’s capacity to indigenously construct such a colossal and intricate vessel.”

Rear Admiral Abolaji Orederu, Admiral Superintendent of Naval Dockyard Limited, underscored the strategic importance of partnering with Dateline Energy Services. He noted that this collaboration would create opportunities for the local construction of other oil and gas vessels and infrastructure. Rear Admiral Orederu expressed his confidence that this partnership would yield substantial benefits for all parties involved, contributing to the growth of Research and Development and local content development within the maritime and energy sector.