Oyo State Governor, Oluseyi Makinde has approved the award of the contract for the construction of the 110km Ibadan Circular Road to a new concessionaire named Messrs SEL-Vydra Consortium, at the cost of N138.2 billion.

The new contract followed the expiration of the earlier contract for the construction of the 32 km stretch granted to Messrs ENL Consortium by the immediate past government in the State.

The project, which is to be executed on a Build, Operate and Transfer concession arrangement, is also classified as a User-Pays toll road.

However, the Makinde administration has approved a joint evaluation of the work done by ENL on the segment awarded to it in 2017.

The immediate past government had awarded the 32-kilometre portion of the road to ENL at the cost of N67 billion.

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The portion awarded to ENL at the cost of N67bn represents only a third of the entire 110km stretch of the all-important road now awarded at the cost of N138.2bn.

Chief Press Secretary, Taiwo Adisa confirmed that the award of the contract was one of the last assignments undertaken by the State Executive Council, which was dissolved shortly after its meeting on Tuesday, June 29, 2021.

Other contracts awarded by the Council include the 34.85 km Oyo-Iseyin Road; Isaba-Ogundoyin road, Eruwa; BCJ/Railway Crossing/NIHORT Road and the Kolapo Ishola GRA roads.

The Oyo-Iseyin Road is a Federal Road being constructed by the State in view of its strategic importance to the economic expansion plans of the Makinde administration.

The statement further indicated that the Ibadan Circular Road encircles the Ibadan urban area, providing the critical link between different parts of the city and the new Central Business District initiated by Governor Makinde.

While the state government will contribute N25 billion and own 20 per cent equity in the project, Messrs SEL-Vydra Consortium will contribute the sum of N113.2 billion and own 80 per cent. 

According to the statement, the Oyo-Iseyin road, awarded to Messrs Kopek Construction Limited, at the cost of N8.4 billion, will be executed through the Alternative Project Funding Approach (APFA).

The state government also approved the construction of a 500,000 litre aviation fuel facility at the Ibadan Airport as well as the construction of Isaba-Ogundoyin road in Eruwa.

It also approved the rehabilitation/sectional overlay of BCJ-Railway crossing/Up Jesus junction/Baptist Grammar School junction/NIHORT junction, with a spur to 'Ye Are The Light Church' Road, Ibadan.

Approval was also given for the rehabilitation and asphaltic overlay of roads within Kolapo Ishola Estate, a Government Reservation Area (GRA), in Ibadan at the cost of N1.053 bn.

The project would be executed by Messrs Peculiar Ultimate Concerns, with a contract duration of five months.

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