FG Scrutinises $200bn Mega Infrastructure Plan Linking Gas, Power and 4,000km High-Speed Rail Network

The Federal Government has inaugurated a multi-agency technical committee to review a proposed $200 billion Integrated Gas, Power, and High-Speed Rail project, in what officials describe as a critical step to safeguard national interests and ensure financial and technical credibility.

The initiative, announced in August 2025, is designed to simultaneously harness Nigeria’s vast gas reserves, strengthen electricity generation, and deliver a nationwide high-speed rail system aimed at transforming transportation and industrial capacity.

According to government projections, the project would connect Nigeria’s estimated 200 trillion cubic feet of gas reserves to power generation and rail electrification, while also shifting freight and passenger movement from roads to rail in a bid to reduce congestion and improve logistics efficiency.

Trains on the proposed network are expected to operate at speeds of 200–250 km/h, with some segments projected to reach up to 350 km/h, significantly cutting travel times across major economic corridors.

Speaking at the inauguration of the review committee, the Secretary to the Government of the Federation, George Akume, said the scale of the proposal required careful evaluation before any final commitments are made.

Akume noted that the project, submitted by De-Sadel Nigeria Limited in partnership with China Liancai Petroleum Investment Holdings Limited, is “too large and too important” to be approved without rigorous assessment.

He explained that the proposed infrastructure would span approximately 4,000 kilometres, linking key cities including Lagos, Abuja, Kaduna, Kano, and Port Harcourt in a multi-phase development plan.

“These kinds of projects have the potential to transform Nigeria’s transport infrastructure, strengthen energy security, stimulate industrial growth, and deepen national integration,” Akume said.

“But they must be carefully evaluated to ensure they align with national priorities, are technically sound, financially viable, and fully compliant with Nigeria’s legal and regulatory frameworks.”

He added that concerns raised by relevant agencies regarding funding arrangements and consortium profiles necessitated a coordinated technical review.

The inter-agency committee includes representatives from key ministries and security and financial institutions, including the Ministries of Transportation, Petroleum Resources, Finance, Justice, and Environment, as well as the Central Bank of Nigeria (CBN), Nigeria Financial Intelligence Unit (NFIU), Economic and Financial Crimes Commission (EFCC), National Intelligence Agency (NIA), Office of the National Security Adviser (ONSA), and Debt Management Office (DMO), among others.

The committee has been mandated to verify proof of funds, assess sovereign and financial risks, examine public-private partnership structures, and conduct due diligence on the engineering and construction partners involved in the project.

Providing details of the proposal, the Managing Director of De-Sadel Nigeria Limited, Samuel Ukoh, described the initiative as a “new foundation for infrastructure” aimed at national transformation rather than private commercial gain.

He said the first phase of the project would cover a 1,700-kilometre corridor connecting Lagos, Abuja, Kano, and Port Harcourt, spanning over 20 states.

Ukoh explained that the system would integrate transport, energy, and digital infrastructure, with rail lines constructed largely on elevated bridges designed to accommodate fibre-optic cables and power transmission infrastructure.

According to him, travel time between major cities could be significantly reduced, with Lagos to Abuja estimated at about two hours and 30 minutes, and Kaduna to Abuja in under 30 minutes once completed.

He also claimed the project could generate over two million jobs and stimulate major expansion in Nigeria’s gas and power sectors.

Ukoh further stated that the consortium has submitted proof of funds and completed a final investment decision process in China, adding that the project is currently in an advanced regulatory stage.