Ekperikpe Ekpo, Nigeria’s Minister of State for Petroleum Resources (Gas), has announced a $1.2 billion contract with China National Chemical Engineering Corporation (CNCEC) to revamp a key gas processing plant in Akwa Ibom.

This project aims to boost Nigeria’s aluminium production capabilities.

The agreement, shared by Ekpo on X (formerly Twitter), involves CNCEC and BFI Group, the core investor in the Aluminium Smelter Company of Nigeria (ALSCON). This initiative is a major step toward reactivating ALSCON, a long-dormant facility with an annual aluminium production capacity of approximately 300,000 tons.

“It brings me great satisfaction to announce a pivotal agreement between BFI Group and CNCEC International to revive the 135 million standard cubic feet per day Gas Processing Plant at ALSCON in Ikot Abasi, Akwa Ibom State,” Ekpo stated. The minister emphasized that this investment aligns with President Bola Tinubu’s commitment to advancing Nigeria’s industrial sector, particularly through natural gas utilization.

This “epoch-making” collaboration, as Ekpo described it, will position Nigeria’s aluminium industry on a more competitive footing both regionally and globally. The plant is expected to bolster domestic and international aluminium markets, powered by a renewed focus on industrialization and economic development.

Ekpo praised the partnership between Nigeria and China, expressing confidence that CNCEC’s involvement will fast-track the necessary actions to restart the gas plant. He further commended BFI Group and CNCEC International for achieving this significant milestone and expressed optimism about the project’s timely and on-budget completion.

In September, the federal government reiterated its commitment to reviving ALSCON, noting that full operations would significantly contribute to Nigeria’s economy.

Akwa Ibom State has been recognized as Nigeria’s most creditworthy state due to its sustainable debt profile and fiscal capacity for additional borrowing.

The verdict was delivered by Budgit, a Nigerian civic organisation that examines state and national budgets and applies technology for citizen engagement with a view at institutional improvement, in its State of the States Report 2024 Edition themed “Moving Healthcare Delivery from suboptimal to optimal”

According to Budgit, Akwa Ibom came tops in the States Performance on Index C, scoring 0.227. The report declared that states who score high are determined “by their debt-to-revenue ratio, and personnel cost to revenue ratio”.

“In contrast, states that rank lower on Index C need to check their appetite for the acquisition of more debt as they appear to be either above or very close to solvency for debt-to-revenue ratio, foreign debt to total debt, debt service-to-revenue ratio, and personnel cost to revenue ratio.

“The lower ranking states may need to rapidly adopt Public-Private Partnership (PPP) models in delivering public goods due to their relatively poorer credit worthiness.

“The state (Akwa Ibom) owing to its relatively low foreign debt to total debt ratio, ranked the most debt-sustainable state among the 36 states”

For Governor Umo Eno of Akwa Ibom State who has not borrowed any funds either domestic or foreign since assumption of office, this report further validates the government’s position on prudent management of state resources for the greater good of the people.

In the same report, Budgit indicated that regarding health expenditure, the state allocated funds for purchasing health and medical equipment, construction and provision of hospitals and health centres, purchasing drugs, renovating and building new primary healthcare centres and boosting health training.

It then stated “Overall, Akwa Ibom is working towards enhancing its healthcare system having spent about N1billion on primary healthcare and medical equipment. Still, there may be opportunities to increase investment in the sector to fully meet the population’s healthcare needs”

Hon. Uko Umoh, the Chairman of Etinan Local Government Area in Akwa Ibom State, has praised Governor Umo Eno’s economic diversification efforts, particularly following the recent acquisition of two Bombardier CRJ 900 aircraft to expand the IbomAir fleet.

During a weekend address, Umoh highlighted the importance of generating revenue from diverse sources rather than relying solely on allocations from the federation account, especially in challenging economic times. He stated, “IbomAir has become the darling of the Nigerian sky and is enjoying wide patronage by Nigerians. With these new additions to the fleet, IbomAir is taking over the entire Nigerian air space.”

Umoh emphasized that while many states grapple with debt, Akwa Ibom is making strategic investments for future growth, referencing the recent laying of the foundation for the Ibom Towers in Lagos as a significant real estate investment. “We are greatly inspired by the quality leadership at the state level, and we have no other option than to replicate the same in Etinan during our tenure. We are committed and passionate about driving investment traffic to Etinan Local Government as we push for a change of narrative,” he affirmed.

Governor Eno previously explained that the addition of the two CRJ 900 next-generation aircraft reflects the administration’s ongoing support for IbomAir and aligns with the ARISE Agenda’s focus on strategic investments that stimulate economic growth and enhance the state’s standing among its peers.

Mr. Mfon Udom, CEO of IbomAir, noted that with the new aircraft, the airline’s fleet now totals nine, including two Airbus A220-300s and seven CRJ 900s. He assured that the airline would continue to grow its fleet, with nine more Airbus A220-300s set to be delivered in the next three years. Udom confirmed that the two newly acquired CRJ 900s were financed through a shareholder loan, enhancing IbomAir’s capacity to provide reliable service and connectivity for travelers.