The federal government has awarded a major contract for the renovation of two key Lagos ports, Tin Can and Apapa, to Chagoury Group, a multinational conglomerate headed by Lebanese-Nigerian billionaire Gilbert Chagoury. This contract, which marks a significant development in the country’s efforts to upgrade its ports, was approved by the Federal Executive Council (FEC) in February 2025.
According to reliable sources, the FEC’s approval was granted after Chagoury Group followed all the necessary legal procedures for the bidding process. While the Nigerian Ports Authority (NPA) has not made an official announcement yet, it is expected to confirm the deal soon. The NPA had earlier expressed plans to rehabilitate various ports across the country, including Tin Can and Apapa, as part of a comprehensive strategy to modernize Nigeria’s port infrastructure.
The renovation project has a substantial value, estimated at $1.1 billion, and is expected to breathe new life into two of the most important ports in the country. The Tin Can and Apapa ports play a critical role in Nigeria’s economy, handling a significant portion of the country’s imports and exports.
In November 2023, the NPA had revealed plans to commence the rehabilitation of various ports in Nigeria, with a focus on the Apapa and Tin Can ports in Lagos. This plan was seen as crucial for improving the country’s port operations, enhancing efficiency, and reducing congestion, which has long been a problem at both locations.
On April 18, 2024, the NPA announced that it had secured a $700 million facility for the renovation work, which was arranged through a financing agreement with Citi Bank Nigeria and will be funded by the UK Export Finance (UKEF), a government agency in the United Kingdom.
The agreement marked a major step in the effort to overhaul Nigeria’s port system, particularly in Lagos, where both Tin Can and Apapa ports are critical to the movement of goods in and out of the country.
While the deal was officially confirmed by NPA officials, there has been some confusion regarding the parties involved in the project. Ikechukwu Onyemekara, the spokesperson for the NPA, had previously stated that the renovation project had been awarded to Hitech Construction and ITB Nigeria. He emphasized that Chagoury Group was not mentioned in the official contract announcement.
However, further investigations revealed that Chagoury Group operates subsidiaries such as Hitech Construction and ITB Nigeria, both of which have been involved in high-profile construction projects across Lagos. As a result, it appears that Chagoury Group’s involvement in the renovation of Tin Can and Apapa ports may be connected through its subsidiaries, despite the NPA’s initial denial of direct involvement.
Chagoury Group is one of the leading construction and infrastructure companies in Nigeria, with a track record of major projects, particularly in Lagos. Among the projects associated with the conglomerate are the Lekki-Epe Expressway and the Ajah Flyover, both of which have been vital in improving transportation in Lagos State.
In addition, Hitech Construction, one of the subsidiaries under Chagoury Group, was awarded the Lagos-Calabar coastal highway project in September 2023 under a public-private partnership (PPP) model. This was yet another major infrastructure project tied to the Chagoury Group, cementing its reputation as a key player in Nigeria’s construction and infrastructure sector.
However, Chagoury Group’s growing presence in the Nigerian infrastructure sector has not been without controversy.
In May 2024, former Vice President Atiku Abubakar publicly criticized the federal government for awarding the Lagos-Calabar road project to Hitech Construction, claiming that it presented a potential conflict of interest. Abubakar argued that the appointment was improper, noting that Seyi Tinubu, the son of President Bola Tinubu, serves as a director on the board of CDK Integrated Industries, a subsidiary of Chagoury Group.
Abubakar’s comments sparked a political debate, with critics questioning the government’s decision-making process. However, in response to these concerns, the presidency defended the actions of President Tinubu’s son, stating that Seyi Tinubu, as a private citizen, was within his rights to engage in business ventures within Nigeria and internationally, as long as they complied with legal and regulatory frameworks.
On March 16, 2025, Minister of Works David Umahi addressed the controversy, emphasizing that President Tinubu had not recommended any company for the Lagos-Calabar road project. Umahi’s statement sought to dispel allegations of favoritism, reiterating that the federal government made decisions based on merit and proper procedures.
The renovation of Tin Can and Apapa ports is expected to bring significant improvements to Nigeria’s port operations, which are crucial to the country’s trade and economic growth. Lagos is Nigeria’s commercial capital, and the two ports are at the heart of its trade activities. However, these ports have long faced challenges such as congestion, inadequate infrastructure, and inefficiency, which have led to delays in cargo handling and increased costs for businesses.
By modernizing the ports, the federal government aims to enhance the overall efficiency of the nation’s trade and logistics sector, which will have a positive impact on the economy. This renovation project is seen as part of the broader effort to improve Nigeria’s infrastructure and attract more foreign investment.
Once completed, the upgraded ports are expected to handle a higher volume of cargo, reduce the time ships spend waiting to dock, and improve the overall flow of goods into and out of the country. This will ultimately benefit businesses, reduce transportation costs, and help Nigeria maintain its position as one of Africa’s largest economies.
