Nigeria, UK Sign £746m Deal to Upgrade Apapa, Tin Can Ports

• Tinubu says both nations must nurture trade, economic relationship

• At least £236m contracts will go to British firms

• British Steel to provide 120,000 tonnes of steel billets

• Agreement aligns with drive to unlock maritime sector, says Oyetola 

•Hitech, ITB to handle refurbishment job

Deji Elumoye, Emmanuel Addeh in Abuja and Sunday Ehigiator in Lagos

Nigeria and the United Kingdom yesterday signed a landmark £746 million (about $997 million) ports infrastructure deal aimed at modernising two of Nigeria’s busiest maritime hubs, in a move expected to boost trade, create jobs and deepen bilateral economic ties.

Besides, President Bola Tinubu has said that Nigeria and the United Kingdom must build on their longstanding relationship by strengthening trade ties and expanding mutually beneficial economic cooperation.

Tinubu spoke when he met with United Kingdom Prime Minister Sir Keir Starmer at Downing Street, where the two countries agreed on the deal to refurbish two major ports in Lagos, a statement by his spokesman, Bayo Onanuga, stated.

The President described his state visit to the United Kingdom, the first by a Nigerian leader in 37 years as “very thrilling and significant” in strengthening bilateral relations between the two nations.

“We can not forget the institutional development we have enjoyed over the years,” the Nigerian leader said at Downing Street ahead of bilateral talks, noting that discussions  covered trade, the economy, climate change, terrorism, and wider global challenges.

“Nigeria is currently going through strong reforms of its economy, and we will discuss that further in our bilateral discussions. Currently, the entire world is challenged. Nigeria is not immune to what is happening around the world. I have seen your reactions on television on certain developments.

“My reaction, as you rightly said, is the economy and the welfare of the people and how we should work together to improve the livelihood of our people,” the Nigerian leader said.

In his remarks, Prime Minister Starmer, described the visit as historic and highlighted the significance of the State Banquet hosted by the King in honour of the Nigerian delegation.

He reaffirmed the United Kingdom’s appreciation of its enduring relationship with Nigeria, particularly the vibrant people-to-people connections that continue to strengthen both societies.

He noted that both countries already maintain strong collaboration in areas such as the economy, defence, and security, and said the newly reached agreements on exports and business exchanges reflect a shared determination to deepen cooperation and broaden engagement on global issues.

Later, at Lancaster House, President Bola Tinubu, together with his wife, Oluremi Tinubu, witnessed the £746m agreement for the modernisation of the infrastructure at the Apapa and Tin Can Island ports in Lagos.

The agreement was signed on behalf of Nigeria by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun and the Parliamentary Under-Secretary of State and UK Minister for Small Business and Economic Transformation, Blair McDougall, on behalf of the British government.

Edun explained that the agreements are consistent with Nigeria’s priority on infrastructure, energy, and industrial development.

He noted that the increasing emphasis on bilateral partnerships would help attract the scale of investment required to boost economic activity, create jobs, and reduce poverty, in line with the administration’s ‘Renewed Hope Agenda’.

He said the agreements underscored growing confidence and mutual trust between both countries, as well as a shared commitment to deliver tangible economic outcomes for Nigeria and the United Kingdom.

The agreement, finalised yesterday, will fund the refurbishment of the Lagos Port Complex (Apapa Quays) and the Tin Can Island Port Complex through a financing package guaranteed by UK Export Finance (UKEF).

The project, delivered via UKEF’s Buyer Credit Facility and coordinated by Citibank N.A, London Branch, is expected to support thousands of skilled jobs in both countries while injecting hundreds of millions of pounds into their economies.

Under the deal, at least £236 million worth of contracts will go to British firms, including a record £70 million steel supply agreement awarded to British Steel. The company will provide 120,000 tonnes of steel billets to construction firms Hitech Nigeria and ITB Nigeria for the port upgrades.

UK Secretary of State for Business and Trade, Peter Kyle, described the agreement as a significant boost for British industry and UK-Nigeria relations.

“Hot on the heels of our landmark Steel Strategy, this is a major win for British Steel made possible by UK Export Finance, which is testament to the quality of UK-made steel and the booming UK-Nigeria relationship,” he said.

On the Nigerian side, the Minister of Marine and Blue Economy, Adegboyega Oyetola, said the initiative aligned with the federal government’s drive to unlock the full potential of the maritime sector.

“The modernisation and upgrading of Nigeria’s ports represents a major step forward for the country… Through strategic partnerships such as this with the United Kingdom, we are laying the foundation for a new era of efficiency, transparency and competitiveness in Nigeria’s port system,” he said.

Oyetola added that the upgraded infrastructure and introduction of digital and automated systems would significantly reduce vessel turnaround times, cargo dwell periods, and logistics costs, while improving transparency and boosting government revenues.

As part of the broader engagement, both countries also signed a Memorandum of Understanding (MoU) to explore future trade and investment opportunities. The framework outlined Nigeria’s priority project pipeline and sought further UKEF-backed financing, with significant participation expected from UK suppliers.

Besides, the Chief Executive Officer of British Steel, Allan Bell, described the contract as a “record-breaking” milestone for the company.

“This deal represents us moving from stabilisation to building long-term sustainability for the business… it marks a tremendous vote of confidence in British Steel and UK manufacturing,” he said.

Also commenting, Global Head of Export and Agency Financing at Citi, Richard Hodder, noted that the financing arrangement ranked among the largest export credit agency-backed facilities in West Africa.

“Citi has been present in Nigeria for over 40 years and is delighted to support the Nigerian Ports Authority and the Federal Government of Nigeria in financing this critical infrastructure project,” he stated.

Similarly, CEO of UK Export Finance, Tim Reid, said the deal underscored the growing trade relationship between both countries.

“This deal represents a milestone for UK-Nigeria trade relations… and lays the foundations for a deeper, long-term relationship that will open doors for British exporters across the region,” he said.

Since 2018, UKEF said it has increased its financial support for West and Central Africa by more than £3 billion, reflecting rising demand for diversified trade partnerships and long-term infrastructure investment.

THISDAY learnt that both the Apapa Port built during British rule in the early 1920s, and the TinCan Port which started operations in 1977, handle more than two-thirds of the nation’s goods trade.