ENYIMBA ECONOMIC CITY (EEC)A Global Business Hub In The Southeast Nigeria A Free Trade Zone

Information Memorandum

INTRODUCTION

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• THE OPPORTUNITY…………………………..............................

• THE CHALLENGES…………………………………………………

• THE PROJECT……………………………………………………….

• 7 KEY PILLARS OF THE VISION OF ENYIMBA ECONOMIC

CITY…………………………………………………………………

• EEC VISION AND NATIONAL ECONOMIC & INDUSTRIAL

POLICY……………………........................................................

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INTRODUCTION

THE OPPORTUNITY

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There is window of opportunity to capture quick

commercial and economic wins through attracting

light, labour intensive local and export oriented

manufacturing to relocate production to Enyimba

Economic City (EEC).

Two mega trends are creating this opportunity. First,

comparative advantage in manufacturing is shifting

globally. In the 70’s and 80’s manufacturing shifted to

China. China was the World’s factory floor with over 85

Million light manufacturing jobs.

As it was the case with industrialized countries, China is

entering and upgrading to higher/heavy industries.

With rising labour cost, China is no longer competitive

in labour intensive manufacturing. This is leaving huge

space for developing countries, Nigeria being one, to

enter first phase of labour intensive industrialization.

The second trend is the State policy of China

especially the “One Belt and One Road” (OBOR) and

China–African Industrialization Cooperation Initiative.

This will create massive opportunity for developing

countries to collaborate on developing infrastructure,

which is one of the hindrances to industrialization.

While, Middle Income Countries (MIC) like India, Brazil,

Indonesia etc. will continue their current pace of

development, Nigeria is attractive to manufacturing. It

has large local market, raw materials, young

educated population, low wages etc.

Nigeria, through centres such as Aba, which has

dynamic local manufacturing base is well positioned

to drive new economy. Experience has shown that

any country that captures the window of opportunity

of global relocation of light manufacturing can grow

dynamically and in one or two generations graduate

into middle/ high income economy.

This is the opportunity Enyimba Economic City seek to

create for Nigeria.

THE CHALLENGES

This opportunity has challenges. First, is that of

infrastructure, power, road connectivity, logistics

(seaport, airport and rail), communication etc.

Second, skill/technical know-how to produce high

quality goods at global competitive price and third, is

enabling environment for industry, trade and

investment.

In developing Enyimba Economic City, these

challenges have been recognized and taken into

consideration in choosing the site, designing the city

and developing an implementation framework that

will make Enyimba Economic City a preferred

destination for global and domestic manufacturing

transfer in Nigeria.

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THE PROJECT

Enyimba Economic City (EEC) is a 9464 Hectares of

Work, Live, Learn and Play City designed to have

economics of agglomeration, environmentally

conscious, efficient and sustainable centre of South-

South/South-East of Nigeria.

It is an investment destination created to leverage on

the opportunities Nigeria offers to bring about job

creation and regional development through

industrialization.

It is a Special Economic Zone (SEZ) under the Made In

Nigeria for Export (MINE) programme of Federal

Government of Nigeria.

The project is developed through a Public-Private

Partnership (PPP) of a successful entrepreneurial

companies represented by Crown Realties Plc, Abia

State Government and Federal Government of

Nigeria, with private sector providing leadership.

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Hence, the business plan, management, regulatory

framework, commercial and economic viability are

modelled to be market driven strategies that will

mitigate potential risks, with resilient management

model to implement the project in timely manner.

It is proposed that Enyimba Economic City

development will be the benchmark for setting up and

operating other similar SEZs in Nigeria.

Connect five (5) Southeast and four (4) SouthsouthStates of Nigeria with captive population of over 60 Million locally, 192 Million nationally and 300 Million regionally (West Africa).

7 KEY PILLARS OF THE VISION OF ENYIMBA ECONOMIC CITY

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Create Global Business Hub with critical mass that will:

Inclusive Growth, Diversified Economy with Growing Export and Thriving

Business & Investment Environment

Attract proactively long-term local and foreign investments.

Have first class infrastructure including dedicated 24/7 power, driven by manufacturing and supported by enabler uses, Logistic, Medical, Entertainment, Education, Lifestyle Residential and Aviation.

Have administrative regime as a Free Trade Zone that will create best practices and an enabling environment for Industry, Trade and Investment.

Provide generous incentives from Local, State and Federal Government for companies doing business in the city.

Create Model for Global best practice in provision of hard and soft infrastructure and the enabling environment for Industry, Trade and Investment, in Free Trade Zone in Nigeria.

Promote the integration of Nigeria businesses (manufacturing and services) into regional and global value chains.

EEC VISION AND NATIONAL ECONOMIC & INDUSTRIAL POLICY

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GOVERNMENT’S VISION TOWARDSINDUSTRIALIZATION

Government’s Policies• Economic Recovery and Growth Plan

(ERGP) – Increased focus towardsdiversification of the economy.

• National Industrial Revolution Plan (NIRP) –Accelerating the build-up of industrialcapacity within Nigeria.

• Executive Order E01: Ease of Doing Business2017.

• Nigeria Vision 20; 2020 – Increasingproduction of processed and manufacturedgoods for export.

Enyimba Economic City• Absence of any operational large scale organized

industrial infrastructure in the region signifies opportunityto generate employment, promote domestic & foreigninvestments, etc.

• Industrial city envisaged to enhance Economic Growth,whereby there is seamless integration into the country’sdevelopment and acts as a catalyst for realizing thegovernment’s vision.

• Requirement to provide the region with a significantedge in attracting investments across both existing aswell as new industrial clusters.

• Need to attract value-added manufacturing acrossupstream, midstream as well as downstream activities,while leveraging on natural resources (such as oil & gas,minerals, etc.) which are currently highly untapped.

• Realization of long term objectives to facilitatetransformation from a resource based economy to amanufacturing/processing led region, graduallygaining recognition as a regional industrial hub.

Enhanced Trade, Industry Diversification, Employment,

Enhanced Infrastructure

CONTINENTAL, NATIONAL & REGIONAL CONTEXT OF ENYIMBA ECONOMIC CITY

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MACRO LEVEL ASSESSMENT

AFRICA OVERVIEW……………………...……………………….

• NIGERIA / AFRICA………………...………………….............

• AFRICA ECONOMIC POWERHOUSE (KENS)………………

• ECOWAS REGION………………………………………

• NIGERIA RESILIENT PRESENCE IN THE REGION…………….

NIGERIA OVERVIEW………………………...…………………….

• GDP GROWTH IN NIGERIA……………………………………

• CHANGE IN THE GDP COMPOSITION OVER THE

YEARS……………………………………………………………

• SECTORAL CONTRIBUTION TO GDP…………………………

• ASSESSMENT OF DIRECT FOREIGN INVESTMENT………….

• NIGERIA’S TOP IMPORT-EXPORT PARTNERS IN

AFRICA………………………………………………………….

• NIGERIA’S TOP GLOBAL EXPORT PARTNERS……..............

• NIGERIA’S TOP GLOBAL IMPORT PARTNERS………………

• NIGERIA DECLINING TRENDS OF IMPORT………..............

• NIGERIA TRANSITION TO A NON-OIL

ECONOMY……………………………………………………..

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• NIGERIA FAVOURABLE DEMOGRAPHY……………………

• NIGERIA INFRASTRUCTURE – AIRPORTS……………………

• SEAPORTS……………………………………………………….

• RAILWAY………………………………………………………..

• ROAD……………………………………………………………

SOUTHSOUTH SOUTHEAST OVERVIEW…………………………..

• LOCATION MAP………………………………………...........

• OPPORTUNITY SNAPSHOT……………………………………

• DEMOGRAPHICS………………………………………………

• EDUCATION………………………………………..................

• ECONOMY……………………………………………………..

• INVESTMENTS…………………………………………............

• MINERALS & RESERVES……………………………………….

• INDUSTRIAL SNAPSHOT………………………………………

• SITE SUPERIOR CONNECTIVITY……………………………..

GROWTH INDUSTRIES ASSESSMENT……………………………..

AFRICA, NIGERIA, SOUTHSOUTH SOUTHEAST REGION........

DIVERSE INDUSTRY MIX ACROSS THE VALUE CHAIN…........

SITE ADVANTAGES AND KEY CONSIDERATIONS…….…..…

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CONTINENTAL, NATIONAL & REGIONAL CONTEXT OF ENYIMBA ECONOMIC CITY

MACRO LEVEL ASSESSMENT

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• Primarily natural resource driven export economies~ high vulnerability to global commodity pricesowing to dependence on exports.

• Sustained growth witnessed over the past decade~ led by factors such as macro-economic stability,improved private sector development policies andtransparent governance.

• Growth in the continent dominated by selectindustrially developed economies ~ South Africa,Egypt, Kenya, Nigeria, etc.

• Nigeria ~ currently accounting for approximately19% of the African GDP.

• Reduced dependence of economy on naturalresources witnessed ~ Non resource rich countriesamong the fastest growing economies in 2015.

• Emerging markets characterized by unguardedeconomic growth and structural changes ~investment focus shifting towards secondary sectoractivities.

AFRICA OVERVIEW

Key Economies - AfricaNorthern Africa Egypt, Morocco, Tunisia, etc.

Central Africa Cameroon, Angola, Congo, etc.Western Africa Nigeria, Ghana, etc.Eastern Africa Kenya, Ethiopia, Mozambique, etc.

Southern Africa South Africa, Namibia, etc.

Northern  Africa

CentralAfrica

Western Africa

Southern  Africa

NIGERIA / AFRICA

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• Nigerian economy tops the chart amongst otherAfrican economies.

• Varied economic performance exhibited by theAfrican countries in the past decade ~ slowdown ingrowth witnessed in the last few years due to lowcommodity prices and overall sluggish economy.

• East Africa leads the continent in terms of regionalgrowth with countries like Ethiopia and Kenyawitnessing double digit growth rates of 17% and11% respectively.

• Major drivers of growth shifting from naturalresources and primary commodities to increaseddomestic consumption demand.

• Positive growth prospects for the continent in futuredue to better macroeconomic management,increased diversification and an improved businessenvironment.

Nigeria’s GDP is one the highest amongst other African countries → growing at a CARG of approximately6%

AFRICA ECONOMIC POWERHOUSE (KENS)

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• Approximately 50% of the total African GDP iscontributed by KENS nations

• Structural economic changes, increased privateparticipation and focus on manufacturing and servicessector

• Sophisticated financial sector, improving exportperformances and growing secondary sectors drivingeconomic growth

• Economically diversified countries are better guardedfrom the external shocks and continue to experiencehigh growth rates despite global slowdown

ECOWAS REGION

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• ECOWAS countries account for approximately 25%of the African GDP ~ US$’ 561 Bn in 2016

• Further, Nigeria’s Economy accounts for two – thirdof the ECOWAS region’s economy

• ECOWAS countries witnessed a fall in the GDP after2014 (from US$’ 724 Bn to US$’ 561 Bn) owing to fallin energy prices

• ECOWAS Nations have witnessed a strong growthrate of 11% from 2009-14 despite a fall in the GDP ina shorter run

Africa GDP Bifurcation (2016)Total : US$’ 2260 Bn

Fall in oil prices, as well as prices of commodities and thefragile political situation in some countries

NIGERIA RESILIENT PRESENCE IN THE REGION

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• Nigeria, one of the leading economiesin Africa ~ highest contribution to GDPof Africa (approximately 19%)

• Nigeria has emerged as economicallystrongest country amongst ECOWASand KENS nations ~ dominant countryin the west as well as among the mosteconomically powerful Africancountries

• Further, the manufacturing sector inthe country has been emerging ~increased manufacturing activities witha strong average year on year growthrate of 16% witnessed in the lastdecade

• Nigeria is located along the coastlineof Gulf of Guinea, one of the majortrade routes with the rest of the world ~strong economy combined withstrategic location makes it of highimportance to the economy of Africa

• Nigeria stands as a strongest economywith the largest contribution to AfricanGDP amongst ECOWAS & KENS Nations

Approximately 75% of GDP of ECOWAS countries comes from Nigeria

NIGERIA OVERVIEW

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2010 2011 2012 2013 2014 2015 2016Year

GDP GROWTH IN NIGERIA (2010 – 2016)

369412

461515

568495

434

600500400300200100

0

%CAGR (2010 to 2016) ~3

Growth : (‐ 6.51%)  (2014 – 16)

Growth : 11.38%(2010 – 14)

Nigerian economy registered a consistently high growth  rate during 2010 – 14 → effective fiscal management ofoil  wealth, reforms in key areas of power & agriculture along  with decentralized autonomy to the States

Declining economy post 2014 → falling oil pricesleading  to macroeconomic de‐stability trickled down to almost  across all sectors resulting to stagflationG

DP (US$

’Bn)

43% 54% 58%

6%

50%

7%

39%

9%

33%

0%

20%

40%

60%

80%

100%

Sect

oral

Con

trib

utio

n(G

DP)

2005Primar

y

2010Secondary

2016Tertiary

Sectoral Contribution to GDP• Decreasing dependence on primary sector

• Increasing share of agricultural activities (from 45%during 2007 to 67% during 2016) along with decreasingshare of Crude Petroleum & Natural Gas (from 44%during 2007 to 25% during 2016)

• Further increasing share of tertiary activities in the economyprimarily led by services such as Information &Communication, Real Estate and Professional & ScientificServices

• Moderate growth witnessed across secondary sector ~majorly owing to increased Government focus onmanufacturing and value added activities

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CHANGE IN THE GDP COMPOSITION OVER THE YEARS

• GDP composition witnessed major changes in the last 5-6 years between 2010-2016 ~ Significant rise in the shareof tertiary sector from 51% in 2010 to 67% in 2016.

• Share of secondary sector witnessed a marginalincrease during the period owing to increase inmanufacturing and construction activities.

• Share of primary sector fell by approx. 11% from 38% to27% during the period due to reduced mining andquarrying activities after 2014.

Figure : GDP Contribution - 2016Figure : GDP Contribution - 2010

Primary Secondary        Tertiary

27%

13%

60%

• The recent lower growth rate of the Nigerian economyhas resulted in a renewed focus on economicdiversification, promoting growth in the private sector,and driving growth in industry and services sectors of theeconomy.

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• Primary sector dominated by activities in the agriculture and livestock segment.

• However, limited contribution tothe overall GDP ~ scope for futuregrowth.

• Contribution to secondary sector dominated by manufacturing followed by construction.

• Negligible contribution by utilitiessector.

• Diverse activities contributing almost equally in the tertiarysector.

• Wholesale Trade, restaurants and hotels has the major share of 35%followed by financial and real estate services accounting for27%.

SECTORAL CONTRIBUTION TO GDP

Primary Sector Secondary Sector Tertiary Sector

Agriculture, forestry Mining & quarrying, Fishing Manufacturing

Utilities Construction

Wholesale & Retail Trade, Restaurants, HotelsTransport & CommunicationsFinance, Insurance, Real Estate etc.Others

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ASSESSMENT OF DIRECT FOREIGN INVESTMENT

Country wise FDI Inflows toNigeria  (2016)• FDI in Nigeria reached a record level of US$’ 8.9 Bn in2011 rising at a rate of 10% annually from 2005-2011

• Netherlands and USA are amongst the countriesinvesting heavily in Nigerian economy ~ Attractiveinvestment destination for European and Americancountries

• FDI inflow primarily directed towards oil and natural gasproduction ~ FDI inflows in 2015 were the lowest (US$’3.06 Bn)

• Limited absorptive capacity for foreign investment beingwitnessed in the Southsouth Southeast region except foroil related activities

• Recent policy reforms by the Government designed toimprove private investment environment made Nigeriathe top destination for FDI in Africa during 2016

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NIGERIA’S TOP IMPORT – EXPORT PARTNERS IN AFRICA

• Share: 22% of the totalNigerian Exports to Africa

• Major Commodities: PetroleumOils,Natural Gas, Tobacco, ChemicalProducts like Soaps, Perfumes,Food products like Milk, Cream,etc.

Côte d'Ivoire

• Share: 4% of the total NigerianExports to Africa

• Major Commodities: NaturalGas, Food Products like OilSeeds, Butter and fats,Spices, Textile Yarn, etc.

Egypt

• Share: 10% of the totalNigerian Exports to Africa

• Major Commodities: Tobacco, Petroleum Oils, Glassware, Natural Gas, floating structures such as ships, boats, etc.

Cameroon• Share: 9% of the total NigerianExports to Africa

• Major Commodities: Petroleum oil and gases, tobacco, foodproducts such as AnimalFeedstuff, fruits and nuts, metal bars, etc.

Senegal

• Share: 40% of the totalNigerianExports to Africa

• Major Commodities: Petroleum, Oil, Fertilizers, NaturalGas, Spices, Natural Rubber, Base Metals Waste and Scrap, etc.

South Africa

• Share: 1% of the total Exports to Africa

• Major Commodities: Tobacco, Vegetables,

Petroleum Oils, Motor Vehicles, parts and accessories, etc.

Benin

Ghana• Share: 8% of the total

Nigerian Exports to Africa

• Major Commodities: Tobacco, Petroleum Oils, Food products like Milk, Cream and Edible products, Non Alcoholic Beverages, etc.

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NIGERIA’S TOP GLOBAL EXPORT PARTNERS

• Share: 8% of the total World Exports

• Major Commodities: Oil & Gas,Food Items (Spices & Cocoa), Textile Products, etc.

• Share: 6% of the total World Exports• Major Commodities: Food &

Beverages (Dairy Products),NaturalRubber, Oil & Gas, Crude Vegetable Material, Fertilizers, etc.

• Share: 5% of the total WorldExports

• Major Commodities: Oil & Gas, Fertilizers, Footwear, etc.

BRAZIL

FRANCE

SPAIN• Share: 9% of the total World

Exports• Major Commodities: Oil & Gas,

Food Items (Spices & Cocoa),Fertilizers, etc.

UNITED STATES OF AMERICA• Share: 5% of the total World Exports• Major Commodities: Oil & Gas,

Food Products (Spices, Cocoa,Nuts, etc.) Metallic Scrap, Leather,etc.

NETHERLANDS

• Share: 24% of the total World Exports

• Major Commodities: Oil & Gas, Food Products (Spices, Cocoa,Nuts, etc.) Metallic Scrap, Leather, etc.

INDIA

• Share: 5% of the total World Exports• Major Commodities: Oil & Gas, Food Items

(Spices & Cocoa), Metallic Scrap, etc.

SOUTH AFRICA

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NIGERIAN TOP GLOBAL IMPORT PARTNERS

UNITED STATES OFAMERICA

UNITED KINGDOM

CHINA• Share: 3% of the total World

Imports• Major Commodities: Tobacco,

Essential Oils, Special Purpose Machinery, Electrical Machinery, Motor Vehicles,etc.

GERMANY

NETHERLANDS

• Share: 3% of the total World Imports

• Major Commodities: Ships,Boats, Sea food, Textile Articles, Chemical Products, Polymers, Special Purpose Machinery, Motor Vehicles, etc.

REPUBLIC OF KOREA

INDIA

• Share: 5% of the total WorldImports

• Major Commodities: FrozenSeafood, Natural Rubber, Petroleum Oil, Veterinary Medicament, Purpose Engine, Essential Oils, Special Machinery (Combustion Rotating Electric Plant, etc.), Aircraft & associated equipment,etc.

• Share: 5% of the total WorldImports

• Major Commodities: MotorVehicles, Tobacco Products,Essential Oils, Metal Structures, Special Purpose Machinery, Electrical Equipment, etc.

• Share: 25% of the total World Imports

• Major Commodities: Plastic Products, Insecticides, Rubber Tyres, Construction Materials (Clay), Aluminium, Other Machinery & Equipment, Electronic Items, Motorcycles, etc.

• Share: 4% of the total World Imports• Major Commodities: Agricultural produce such

as Rice, Pharmaceutical including veterinarymedicaments, Plastic Products, Rubber Tyres, Metals, Machinery & Equipment, Specialized Machinery, Motorcycles, etc.

• Share: 10% of the total World Imports• Major Commodities: Agricultural

produce such as Wheat, EdibleProducts, Petroleum Oil, Polymers, Chemical Products, Special Purpose Machinery, Motor Vehicles, Ships, etc.

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NIGERIAN DECLINING TRENDS OF IMPORT

49.25

33.09

43.52

54.3550.16

55.1259.31

47.7838.79

5.28 4.0110.43

15.60 13.978.94 10.48 7.41 5.02

70

60

50

40

30

20

10

-

)nB (D SU

2008 2009 2010 2011 2012 2013 2014 2015 2016

Total Imports Total Exports

CAB ~ 8.8%of GDP

CAB ~ 0.15%ofGDP CAB ~ 0.67%

ofGDP

Further, a sharp decline in imports witnessed over the last few years → improving the Current AccountBalance

US$

’Bn

• Manufacturing led growth expected to positively impactinternational trade dynamics in Nigeria

• Intra-regional trade of Nigeria at Africa as well as Globallevel → potential to enhance export opportunities of finishedand semi-finished goods with optimal utilization of variednatural resources.

Historically, robust growth in Nigeria’s oil sector generated a Current Account Balance (CAB) of approx. 8.8% of its GDP

Sliding oil prices led to a substantial decline in the exports → resulting in reduction in Current Account Balance

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NIGERIAN TRANSITION TO A NON-OIL ECONOMY

• Increasing Share of Non – oil Exports ~ a positive outcome led byGovernment initiatives towards economic diversification.

• Government’s focus on economy diversification by increasingmanufacturing & value add activities expected to decreasedependence on non – oil exports → important to reduce riskarising due to fluctuation in international markets.

2.341.57

5.79

9.76

7.65

4.32

5.83

3.271.90

2.94 2.44 4.64

5.846.32 4.62

4.654.14

3.13

-

2

4

6

8

10

12

)nB (D SU

2008 2009 2010 2011 2012 2013 2014 2015 2016

Total Oil Exports (USD Bn) Total Non Oil Exports (USD Bn)

Higher dependence on oil →Substantial share of Oil Exports in Nigeria’s totalexports

Recent trends of increasing share of non –oil exports → Government focus on non–oil export diversification to counter the economy from externalshocks

US$

’Bn

• Potential for Subject Site to Draw SubstantialRelated Advantages in Manufacturing & ValueAdd Activities.

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NIGERIAN FAVOURABLE DEMOGRAPHY

• Employable population of Nigeria, within the age group (15 –64) – accounting for 55% of the total population → significantsource of existing manpower for the country

• Younger population, currently under educated - expected toenter manpower pool in the future, also account for almost42% of total population

• With approximately 193 Mn people, Nigeria accounts forapproximately half of West Africa’s population

• Approximately 42% of the existing population currently in theage group of 0 - 14 years ~ expected to provide healthymanpower pool in the future as well (medium to long termhorizon)

• Only 3% of the total population currently in age group of 64years & above ~ primarily due to the lower average lifeexpectancy of the country → need of better quality healthcarefacilities

42%55

%

Age Group-wise Structure ~ Population of Nigeria Total Population ~ 193 Mn

3%

0 to 14 15 to 64 Above 65

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NIGERIAN INFRASTRUCTURE – AIRPORTS

• Country has 4 operational international airports and 7 majordomestic airports

• Preferred destination for over 22 foreign carriers owing toBilateral Air Services Agreements with over 78 countries

Cargo Handled at major airports (2015)

Name Cargo Handled (Mn Kg)

Abuja Airport 19

Kano Airport 12

Lagos Airport 167

Port Harcourt Airport 9

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SEA PORTS

• Currently ranked 7th in West Africa in terms of Quality of PortsInfrastructure

• Surge in cargo throughput in recent years owing to increasedprivate participation

Details for Greenfield Port ProjectsName Expected Capacity Expected

Completion

Lekki DeepSea Port 2.7 Mn TEUs 2019

Badagry DeepSea Port 1.8 Mn TEUs 2018

Ibom DeepSea Port 9 Mn TEUs 2018

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RAILWAY

• Currently made up of 3,505 route kilometres and 4,332 track kilometres.

• Undergoing rehabilitation and modernization supported by The FederalGovernment to enhance transportation and logistics capability.

• Ongoing railway expansion and modernization projects to enhanceconnectivity enabling transportation and logistics related activities andgive a boost to the economy.

Nigerian Rail network is the largest in Africa and 47th largest in the world

Country has signed a contract with the China Railway Construction Corporation to build a 3,218 km high-speed rail network

Expected to boost to the economy, connecting Lagos, Kano, Kaduna, Warri, Bauchi, Abuja, and Port Harcourt

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ROAD

• Nigeria with a total road network of 193,200 km isthe 27th longest in the world and 2nd in Africa,however, only about 15% of roads are paved

• The road sector accounts for about 90% of allfreight and passenger movements in the country

• Although the Federal road network constitutes 18%of the total national network, it accounts for about70 per cent of the national vehicular and freighttraffic

• Roads in the influence region are currently in adeteriorated condition ~ Need to undertake moreroad rehabilitation and development projects byPrivate Players as well as State, backed by thesupport from Federal Government

• Currently undergoing major rehabilitation anddevelopment work, expected to enhanceconnectivity across States as well as neighbouringcountries like Niger, Chad and Cameroon

•

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• Southsouth and Southeast States of Nigeria formspart of the Influence Region

• Located in Abia, the subject site is in proximity toneighboring states of Imo, Rivers, Enugu, Ebonyi,Akwa Ibom, Bayelsa, Cross River and Anambra.

• The region is endowed with abundant naturalresources of industrial as well as domestic value;further, presence of commercial ports, inter-linkedhighways and airports makes the region acommercial hub. Southsouth & Southeast Region

Subject Site

1. Edo2. Delta3. Bayelsa4. Rivers5. Akwa Ibom6. Cross River

7. Ebonyi8. Enugu9. Anambra10.Imo11.Abia

LOCATION MAP

SOUTHSOUTH SOUTHEAST OVERVIEW

OPPORTUNITY SNAPSHOT

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Presence of commercial Sea Ports,Airports and upgradation ofexpressways and highways across theInfluence Region is expected tofurther promote industrial activity

Negligible presence of organized realestate activity in the influence region increasing economic activity toenhance the demand for organized realestate activity across key sub‐segments

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• More than 25% of Nigeria’s population within a radius of100-150 km from the subject site

• 75% of total population under working age (15 – 64 year)in the influence region ~ rich base for labor force

• Young population base coupled with high literacy rates,as compared to the Nigerian average of 59%, acts as amajor source of potential present and future humancapital

DEMOGRAPHICS

Population Comparison – Influence Region & Nigeria (2016) Total Nigeria Population ~ 193 Mn

Total Population  51 Mn

Influence Region – Population Break up

Literacy Rate 75%

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PRIMARY & SECONDARY EDUCATION• 5 South-East and 4 South-South States among top 10 in

performance in the West African Senior SchoolCertificate of Education examinations.

• Further, presence of more than 11,000 primary schools inthe region – approximately 18% of the total PrimarySchools in Nigeria enrolling approximately 5.5 Mnstudents.

• Approximately 2,700 public junior secondary schoolspresent in the States making up Further, 25% of the totalJunior Secondary Schools in Nigeria enrolling more than1.1 Mn students.

TERTIARY EDUCATION• Tertiary education supported by presence of State

Universities in every State as well as polytechnics andtechnical colleges of education.

• Nigeria's first indigenous university, (University of Nigeria,Nsukka(UNN)), is located in Enugu State.

EDUCATION

State Literacy Rate (%)

Abia 85.10Akwa Ibom 89.50Anambra 82.10Bayelsa 74.90

Cross River 70.40Delta 79.30

Ebonyi 62.50Edo 71.80

Enugu 73.20Imo 74.30

Rivers 80.30

• Universities include Abia State University,Nnamdi Azikiwe University (UNIZIK), Imo StateUniversity, etc.

• There is demand and supply gap in tertiaryeducation in the region witnessed in Studentsapplying for higher education in universities visa vis the students enrolling in the universities ~need for more institutions in the tertiary sector.

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• Influence Region consists of economically strong States with8 out of 11 States forming part of Nigeria’s 20 richest States

• Backed by oil and gas industries as well as agriculture, theStates contribute more than 35% to GDP of Nigeria

• Rivers, Delta and Imo contribute approximately half to theGDP of the region due to presence of infrastructure like portsand waterways

• Owing to the presence of natural resources along withsupporting infrastructure, economy of the influence regionlargely driven by Industrial Activity

ECONOMY

State wise GDP Bifurcation of the Influence Region (2015)Total (152 Bn)

States GDP 2015 (USD Mn)Rivers 33,700

Delta 20,800

Imo 18,300

Edo 14,700

Akwa Ibom 14,400

Abia 12,000

Others* 38,400

22%

14%12%10%

8%9%

25%

Rivers Delta Imo Edo Akwa Ibom Abia Others

* Others include Cross River, Anambra, Bayelsa, Enugu and Ebonyi

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• General Electric would be investing a sum of USD 2.7 Bn oninfrastructure, operation and maintenance of the entire narrowgauge lines concession

• Inner Galaxy Steel Company is a recent Chinese Investment inAbia State.

• Calabar Free Trade Zone present in Cross Rivers State haswitnessed significant interest from investors

• Further, ENPOWER FTZ in Enugu expected to attract USD 500Mn ofFDI

• Current levels of investments in the Influence Region on account ofincreased industrial and manufacturing activities and presence ofsupport infrastructure → indicative of a shift from established statestowards emerging states

INVESTMENTSRECENT INVESTMENTS / INTERESTS

Major Investments Received by Influence Region in 2017

Company Country Destination State

Sector Investment (USD Bn)

Statoil Norway Rivers State Oil & Gas 10BPOil

International UK Bayelsa Manufacturing 6

Sinoking Enterprises

Investments Ltd.China Anambra

Transportation, Hospitality & Infrastructure

2

Nigeria - Capital Importation from 2011 – 2016(Total – USD 81 Bn)

97.87%

0.48%

1.33%

0.32%

97%

97%

98%

98%

99%

99%

100%

100%

12%

30%12%

12%

27% 7%

AKWA IBOM

DELTA

ANAMBRA

ENUGU

CROSS RIVER

Others

Lagos Abuja Influence Region Rest of Nigeria

Others include Edo, Abia & Rivers

Influence Region - Capital Importation from 2011 – 2016 (Total – USD 1727 Mn)

31

MINERALS AND RESERVES

32

INDUSTRIAL SNAPSHOT

PROMINENT INDUUSTRIES IN SOUTHSOUTH

AND SOUTHEAST

REGION

33

SITE SUPERIOR CONNECTIVITY

• Superior connectivity through two majorhighways ~ A342 from Ikot Ekpene andA3 from Port Harcourt.

• A3 highway is planned to be upgradedfor enhanced connectivity.

• Proximity to major sea ports ~ Onne Portand Port Harcourt.

• Onne Port & Port Harcourt are at adistance of approx. 40 – 45 km fromsubject site.

• Further, Calabar Port and Akwa-IbomPort (upcoming) are approximately 100– 60 km from the subject site.

• Captive population included in 50, 100and 150 km radius.

BAYELSA

STATE

IMO STATEABIA STATE

EBONYI STATE

ENUGU STATEDELTA

STATE

CROSS RIVER STATE

AKWA IBOM STATE

ANAMBRA STATE

EDO STATE

Calabar Seaport

Onne Seaport

Port Harcourt Int. Airport

RIVERS

STATE

Asaba`Benin Enugu

Akwa

150km 100km 50km

34

Proximity to major airports:

• Port Harcourt International Airport – 45-50 km

• Sam Mbakwe Airport (Owerri) – 55-60 km

Nearby Railway Stations:

• Aba Railway Station – 15-20 km

• Large concentration of industries is located along the

expressway linking Aba with other cities in south such

as Port-Harcourt → presence of approximately 250+

clusters in Aba, actively engaged in producing

products that are exported

• Potential for subject site to draw advantages from

existing industrial base and infrastructure

35

GROWTH INDUSTRIES ASSESSMENT: AFRICA, NIGERIA, SOUTHSOUTH SOUTHEAST REGION

Shortlisted Industry Sector RankingFood Products 1Downstream Oil & Gas 2Textiles 3Other Non-metallic Mineral Products 4Chemicals and Chemical Products 5Rubber and Plastic Products 6Fabricated Metal Products 7Basic Metals 8Beverages 9Wearing Apparels 10Motor Vehicles, Trailers and Semi-trailers (Auto & Auto Components)

11

Leather and Related Products 12Machinery and Equipment 13Pharmaceuticals 14Electrical Equipment & Electronics 15Paper & Paper Products 16

Based on an assessment of the existing industrial

scenario carried out by CBRE and other critical

factors, a preliminary set of industry sectors

have been identified for deriving potential

opportunities for the subject development.

36

DIVERSE INDUSTRY MIX ACROSS THE VALUE CHAIN

▪ Paper & Paper Products

▪ Rubber & Plastic Products

▪ Core Positioning Platform ~ Anchor Industries

▪ New Industry Opportunities

▪ Key USP of the Subject Zone ~ Adding opportunities Across Value Chain

▪ Diversification opportunities

▪ Additional Employment Generation

▪ Offering Inter-industrySynergies

▪ Support Industries

▪ New Industry Opportunities ~ Derived Demand

▪ Inter-industry Linkages

▪ Sporadic Influx

Ancillary Industries

DiversePositioning

Target Industries

Thrust Industry Sectors

Support Industries

▪ Food & Beverages

▪ Textiles & Wearing Apparels

▪ Downstream Oil & Gas

▪ Chemicals and Chemical Products

▪ Non-metallic Mineral Products

▪ Basic Metals

▪ Fabricated Metal Products

▪ Machinery and Equipment

▪ Motor Vehicles & Assembly

▪ Electrical Equipment & Electronics

▪ Pharmaceuticals

▪ Leather and Leather Products

37

SITE ADVANTAGES AND KEY CONSIDERATIONS

Strengths /  Opportunities

Key Consideration  Factors

▪ Potential improvement opportunities  with respect to road & rail  infrastructure ~ critical for movement  of goods (domestically & to  internationalmarkets)

▪ Current focus on direct export of  resources ~ need for industry platform  to kick‐start value added production

▪ Skill Up‐gradation & Training is a  critical aspect to be addressed

Logistics / Physical  Infrastructure

ResourceAvailability

Manpower

Existing IndustrialBase

▪ Strategic location with proximity to major trade routesand sea ports like Port Harcourt and Onne Port,  international airport, planned inland ports in the State acting as  robust logistics infrastructure

▪ Further, Roads and Rail infrastructure upgradationunderway

▪ Presence of ample Natural Resources & Mineral Reserves  in thevicinity Cocoa, cashew, oil palm, cassava, fruits, minerals  such as 

limestone, gypsum, iron, zinc, lead, Salt,  Kaolin, Oil & Gas

▪ Favorable demographics ~ with more than 55% of  population within working age group acting as ready  manpower base

▪ Further, young population below 15 years to act as future  labor force

▪ Largest concentration of industries is located along the  expressway linking Aba with other cities in south such as  Port‐Harcourt

▪ There are approx. 250 clusters in Aba, actively engaged in  producingproducts that are exported

▪ Entire Value Chain across industries  not being tapped currently

▪ Need for diversification due to high  dependence on oil and gas

Growth Driver / Pre‐Requisites

MASTER PLAN

3

DEVELOPMENT CONCEPT…………..…...............................

DEVELOPMENT COMPONENTS………………………………..

LAND USE DISTRIBUTION……………………………………….

ANCHOR COMPONENTS….……………………………………

• INDUSTRIAL TOWNSHIPS, 4 NR, 3949 HECTARES……….

• LOGISTICS, 755 HECTARES……....…..............................

MINI ANCHOR…………………...........................................

• RESIDENTIAL TOWNSHIPS, 1277 HECTARES……………..

FOOTFALL DRIVERS………………........……………………….

• ENTERTAINMENT & RECREATION, 233 HECTARES……….

VALUE ENHANCERS………………...........……………….......

• HEALTHCARE & WELLNESS, 80 HECTARES.......................

• KNOWLEDGE & INNOVATION, 144 HECTARES…..……..

SUPPORT COMPONENTS………………………………………

• COMMERCIAL, RETAIL & HOSPITALITY, 820 HECTARES..

• AVIATION, 461 HECTARES…………………......................

38

39

40-41

42

42-43

44-45

46

46-48

49

49-50

51

51-52

53-55

56

56-58

59-60

3

MASTER PLAN

DEVELOPMENT CONCEPT

38

ENYIMBAECONOMIC CITY

Connected

Integrative

InnovativeInclusive

Walkable

ConnectedTo place Enyimba as the new Centre of the Southsouthand Southeast States with strong overland linkages andaccessibility to other key growth nodes. Well-builtinfrastructure gives added advantage in enhancing boththe business and living environment.

IntegrativeEnyimba presents an opportunity to demonstrate howintegrative uses of land can exist harmoniously together.

InnovativeEnyimba will be the mecca of science and technology inSouth-south and South-east, where industry, research andacademia collaborate to foster an innovative cluster.

InclusiveThe design consideration of public community spaces isplanned for all segments of the population – the young,families, the aged and the disabled.

WalkableThe plan for Enyimba will improve the proximity ofpeople’s homes to their workplaces, attraction centersand social amenities.

WORK LIVE LEARN PLAY

DEVELOPMENT COMPONENTS

39

Anchor Components • Industrial Township

• Logistics District

PRO

DUC

T MIX

CO

MPO

NEN

TS

ValueEnhancers • Healthcare & Wellness City

• Knowledge & Innovation City

SupportComponents • Commercial, Retail & Hospitality

Footfall Drivers • Entertainment & Recreational City

Mini Anchor • Residential Township

This section illustrates the Project Positioning outcomes.Enyimba Economic City is envisioned to kick start withIndustrial and Logistics development. The two keycomponents are considered the anchors to the wholedevelopment, and are expected to attract investors andindustrial players which results in substantial land off-takeand investments.

Industrial and Logistics are not the only focus in EnyimbaEconomic City. The development will have product mixthat balances the industrial and logistics in harmony.Supporting the major anchor is Residential Township tohouse the employees and their families within EnyimbaEconomicCity.

There are also footfall drivers and value enhancersdistributed such as entertainment zone, healthcare zoneand education hub. These supporting mix components willgenerate maximum footfall to Enyimba Economic City, thusenabling destination positioning and supporting demandfor othercomponents.

All these creates sub-cities within Enyimba Economic Citydevelopment and they are all supported withcommercial, retail and hospitality to make the stay andwork in the City enjoyable.

Aviation • Airport & Hanger

LAND USE DISTRIBUTION

40

1

23

4

56

7

8

9

10

11

12

13

41

SEGMENT COMPONENTGROSS AREA

NET AREA

PERCENTAGE%

Anchor Components Industrial Township 4935 3949 42

Logistics District 755 755 8

Mini Anchor Residential Township 1612 1289 14

Footfall Drivers Entertainment & Recreational City

291 233 2

Value Enhancers Healthcare & Wellness City

100 80 1

Knowledge & Innovation City

179 144 2

Support Components

Commercial, Retail & Hospitality

1131 926 10

Airport & Hanger 461 461 5

Total Area 9464 7837 100

ANCHOR COMPONENTS

42

INDUSTRIAL TOWNSHIPS, 4 NR, 3949 HECTARESIndustrial and logistics development are the anchors of EnyimbaEconomic City. Current Economic Scenario warrants developmentof world-class industrial park with organized industrial productsaimed at attracting a diversified base. The following list is thedevelopment rationale for theCity.

Four (4) industrial townships are spread on the western and easternsides of Enyimba Economic City to separate the dominant traffic.Industrial and Logistics Cluster attracts heavy vehicles such as 40-footer trailers and buses. Full load heavy vehicles are notencouraged to cut across CBD and Residential Township but shallproceed to Expressways and Railway.

Absence of any operational large scale organized industrialinfrastructure in the region signifies opportunity to generateemployment, promote domestic & foreign investments, etc.

Industrial city envisaged to enhance Economic Growth, wherebythere is seamless integration into the country's development andacts as a catalyst for realizing the government’svision.

Requirement to provide the region with a significant edge inattracting investments across both existing as well as new industrialclusters.

Need to attract value-added manufacturing across upstream,midstream as well as downstream activities, while leveraging onnatural resources (such as oil & gas, minerals, etc.) which arecurrently highly untapped.

Realization of long term objectives to facilitate transformation froma resource based economy to a manufacturing / processing ledregion, gradually gaining recognition as a regional industrial hub.

To PortHarcourt

ToAirport

Proposed Airport

Dry Port

CBD

Industrial Township 4

Industrial Township 3

Industrial Township2 Oil & Gas Cluster

Industrial Township 1

Logistics Cluster

ToEnugu

Entertainment, Healthcare &Education

Residential

+

Abutting Imo River

43

Industrial Township 1 will be developed together with

main logistics cluster on the northwestern side of

Enyimba Economic City. It has advantages of direct

access to A3 Expressway, Proposed Owerri-Port Onne

Expressway and Railway Line. The Site is considered as

the most promising site to be developed first.

The existing railway line cut across industrial township 1

is crucial for intermodal hub. Rail siding into the

industrial and logistics cluster is envisaged to provide

enhanced transportation linkages.

Each Industrial Township will have unique selling points

– Industrial Township 1 will has a dry port and logistics

cluster, Industrial Township 2 is specializing in Oil and

Gas Industry, Industrial Township 3 has an airport to

boost the air logistics in the region, Industrial Township

4 is abutting Imo River.

The total industrial land provision in Enyimba Economic City is 3949

Hectares spread across the four (4) Industrial Townships. The projected

absorption rate annually is as shown below:

Industrial Township Land Absorption

93

866

2,168

2,754

3,949

- 500

1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040In

dust

rial T

owns

hip

Land

Abs

orpt

ion

(Cum

ulat

ive

Hect

ares

)

44

LOGISTICS, 755 HECTARES

Geographical AdvantageEnyimba Economic City is strategically located in thecenter of Southsouth and Southeast States of Nigeriawhich is situated in between Aba with Port Harcourtand Owerri with Akwa Ibom, which enjoys multimodallinkages through seaport, airport, rail and roadnetwork.

Excellence LinkagesEnyimba Economic City is characterized by thepresence of A3 Expressway connecting the City toinland to the rest of Nigeria. Additional the City is wellconnected through vast road network with urbancentres such as Aba and Port Harcourt. The immediateinfluence region (Southsouth and Southeast Region)provides 60 million catchment population and crossborder catchment will further open up opportunity tocater for 300 million catchments.

Industrial DevelopmentIn the coming years, Enyimba Economic City willemerge as a manufacturing hub and with improvedmultimodal transportation infrastructure, the logisticsindustry is poised for accelerated growth. The City isexpected to result in substantial cargo generation,primarily as a result of international and domestictrade activities entailing faster movement of goods.Furthermore, with the advent of increased investment,influx of technology and e- commerce, the demandfor warehousing and storage space is expected tosurge, which will eventually be beneficial for theoverall logistics sector.

Multimodal Connectivity

• Two ports – Port Harcourt & Port of Onne 50 – 60 kms

• Upcoming port – Ibom Deep Sea Port

• Expressway – a3 & a342• Proposed Owerri-Port Onne Expressway

• Two airports – Port Harcourt & Owerri Airport

• Aba railway station• Upcoming coastal railway line Lagos to

Calabar

Catchment (Market)

60million

• Influence Region Catchment (Southsouth & Southeast States

• Cross Border Catchment300million

Dry Port

Container Freight Station

Warehouses (Covered/Bonded)

Railway Siding

Truck Terminal/ TrailerPark

Wholesale TradingMarket

45

Integrated Multi-Modal Logistics Park planned for EnyimbaEconomic City include a full custom dry port, warehousing,truck terminal, wholesale market etc.

The total land area reserved for this is 755 hectares, andrepresents 8% of land use. Demand for logistics will be drivenby significant growth envisaged for industrial developmentsion the region, and in line with the envisioned domestic aswell as export synergies from the project.

Development of dedicated logistics infrastructure during theinitial phases is expected to be critical to promote overallindustrial and economic growth in the region.

Presence of adequate connectivity infrastructure formanufacturers looking at setting up in the zone is to be oneof the key deciding factors owing to the currently nascentstage of development.

Overall Logistics Land Absorption

71 

755 

‐ ‐ ‐ -

100

200

300

400

500

600

700

800

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040

Logi

stic

s La

nd A

bsor

ptio

n(C

umul

ativ

e He

ctar

es)

46

MINI ANCHOR

Main ResidentialTownship 1,163Ha

Residential 40 Ha

Residential24Ha

Residential30Ha

Residential120Ha

Residential151Ha

Residential47Ha

Residential90Ha

Depending on the actual industrial development on site, the residential use adjacent and within the industrial park shall follow Environmental Regulations. Environmental buffer shall be established to safeguard the residents staying nearby industrial park.

In the event that proposed industries pose high/ maximum risk to human being, residential zone is recommended to be shifted somewhere else.

Residential development in Industrial Park 03 is located adjacent to the reserve site for aviation industry. In the event that airport is being developed in the reserve site, the surrounding airport areas are subjected to height restrictions and Aviation Authority regulations.

RESIDENTIAL TOWNSHIPS, 1277 HECTARES

47

A healthy and diverse residential population with varying agegroups, socioeconomic groups and lifestyles contributes to thevibrancy of Enyimba Economic City.

The proposed Residential Township in Enyimba Economic City isan important component of the social infrastructure, because itensures a balance of land uses and complements employment-generating uses by providing opportunities for workers to livenear their jobs.

In total 908 hectares of main residential land use is allocated inthe Residential Township adjacent to the CBD andEntertainment Zone.

There are also 4 Residential Zones in the Industrial and LogisticsParks. These four residential zones covers about 396 hectares.

It encourages diverse housing typologies including affordablehousing for residents of all economic backgrounds. This is inaddition to the luxurious housing options that will sell at higherpremiums.

The proposed residential township also promotes a variety ofhousing densities. It shall include low, medium and highdensities areas to offer multiple development concepts.

Greater emphasis shall also be given on providing accessibilityto commercial zone, parks, open spaces, social infrastructureand transportation hubs.

High RiseHousing- Up to 12 storeysapartments Medium

RiseHousing- Up to 6 storeysapartments

Low RiseHousing- 3 storeyssingle/semi-detached

Villas

Children Playground

Villas, Low Rise and High RiseApartment

Community Centre

48

Residential Land Absorption

101

276

701

1,277

-

200

400

600

800

1,000

1,200

1,400

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040

Resid

entia

l Lan

d A

bsor

ptio

n(C

umul

ativ

e He

ctar

es)

7

Projected annual absorption rate for residential is as shown.

49

FOOTFALL DRIVERS

It is noteworthy that Nigeria, a country of 192 million peoplehas no destination development for leisure. The centrallocation of the new city will make it attractive as anentertainment hub.

As Enyimba Economic City progresses into the future, it isexpected that the economy in the Southsouth andSoutheast Region will gradually improve. This is expected tobe contributed by the rise of more middle class families asmore people will be employed in the professional field andwitness increase of household income. Therefore, 60 millionlocal catchments with not more than 90 minutes drivingdistance to the city is a huge demography to cater for.

With time, it will become national and internationalentertainment destination.

The dedicated Entertainment Zone is distributed around themain gateway to Enyimba Economic City and covers about233 hectares. The location and size for Entertainment Zonewill be prominent such that the general public will notice itas they travel along A3 Expressway without having to turn-ininto the Economic City.

ENTERTAINMENT & RECREATION, 233 HECTARES

50

The whole point of the Entertainment Zone inEnyimba Economic City is to fulfil social needs and tocreate memorable user enjoyment and experience.An enduring experience created to users can deliverthe market value and generate premiums for thesupporting development within the EntertainmentZone such as residences, hotels and business offices.

Besides, Enyimba Economic City will flourish with thepresence of attractions to continuously generatevisitors to the City. The lack of tourism destinationssurrounding Enyimba Economic City give the City first-mover advantages.

Attractions in Enyimba Economic City can includeTheme Park, Water Park, Film Studios, Casino &Gambling, Night Club, Cinema, Sports Centre etc.

Projected annual absorption rate for entertainment is as shown. Entertainment Land Absorption

-

65

233

- - -

50

100

150

200

250

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040En

terta

inm

ent L

and

Abs

orpt

ion

(Cum

ulat

ive

Hect

ares

)

51

VALUE ENHANCERS

Enyimba Economic City is an integrateddevelopment which has multiple growth drivers andanchors. The City is envisaged to generate close to625,000 jobs. The transient population and thoseliving in the surrounding population centers will addto City population as they will also enjoy servicesoffered in the City.

Proposed Healthcare Zone in Enyimba EconomicCity comprising 80 hectares and representing 1% ofland use will ensure that long term provision formedical services are available and accessible forthe City population and the visitors. The dedicatedHealthcare Zone seeks to fulfil demand for medicalservices that may grow into medical tourism in futureto cater to the regional demand from neighbouringcities and countries.

The dedicated zone also seeks to take advantageof opportunities to welcome back professionals inthe medical field currently serving outside Nigeria.The vast biodiversity and natural environmentsurrounding Enyimba Economic City will also creatediverse opportunities in healthcare and wellness.

These emerging opportunities motivated EnyimbaEconomic City to include 80 hectares of HealthcareZone to address future growth. The proposed zone isdistributed on the western side of the CBD.

Central Business District

Entertainment Zone

Golf Course

Healthcare Zone 80 hectares

Mixed-use Zone

Education Hub

HEALTHCARE & WELLNESS, 80 HECTARES

52

Projected annual absorption rate for medical is as shown.

Healthcare & Wellness City Land Absorption

-7

40

80

- -

10

20

30

40

50

60

70

80

90

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040

Heal

thca

re &

Wel

lnes

s C

ity L

and

Abs

orpt

ion

(C

umul

ativ

e He

ctar

es)

2

53

KNOWLEDGE & INNOVATION, 144 HECTARES

Central Business District

EntertainmentZone

Golf CourseEducation Hub 144 hectares

Mixed-use ZoneHealthcare Zone

Proposed Education Hub in Enyimba Economic Citywill be a vibrant knowledge and innovation clusterto provide an environment that is collaborative,multidisciplinary and multifunctional. The Educationhub will have mixed assets and amenities thatappeal to the knowledge-workers, creative-classindividuals and entrepreneurs who will empower themodern economy.

The plan will create an environment where studentsfrom different background and geographicallocations can interact to enhance interpersonalskills, industrial skills, creativity, integration of ideasand spur commercial innovation.

Education Hub is proposed as a supporting anchorin Enyimba Economic City. The proposed site spansover 144 hectares distributed at the south of CentralBusiness District with direct access to the ProposedOwerri-Port Onne Expressway towards the southernpart and CBD loop- road towards its northern part.

To the west of Education Hub is the Healthcare Zonewhich has public and private medical institutions. Tothe east is the Golf Course & Country Club. Thelocation of Education Hub is far from Industrial &Logistics Cluster that generally has heavy traffic. Itprovides the opportunity to develop the EducationHub into a suitable green and sustainable urbancampus for everyone.

54

This includes having technical and vocationaleducation institutes for skills training and upgrading,improving curriculum in school so that it is moremarket driven and competitive, and to encourageentrepreneurship and creative innovations for thepeople of Southsouth and Southeast Region.

The main components of the Education Hubincludes various academic institutions (EasternUniversity, Enyimba Institute of Technology andEnyimba Vocational & Innovation Institute),vocational institutions, labs and research centres,incubators, makerspaces, co-working spaces,supporting ancillary uses such as library, commercialcentre, students accommodation (hostel),recreational parks and green open spaces.

The Education Hub area is elongated along themain road and easy to be subdivided into smallerland parcels to follow the development phasingstrategy.

Enyimba Economic City Development Corporation isplanning to have a university within the City. Thearea requirement is around 100 hectares.

Projected annual absorption rate for knowledge & Innovation is as shown.

Knowledge & Innovation City Land Absorption

-

40

90

144

- -

20

40

60

80

100

120

140

160

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040Know

ledg

e &

Inno

vatio

n C

ity L

and

Abs

orpt

ion

(Cum

ulat

ive

Hect

ares

)

55

56

SUPPORT COMPONENTS

Commercial Centre 34Ha

Commercial Centre 14.4Ha

Commercial Centre 9.5Ha

Commercial Centre 5.5Ha

Town Centre 104Ha

Commercial Centre 65Ha

Commercial Centre 46Ha

The Central Business District820 hectares

COMMERCIAL, RETAIL & HOSPITALITY, 820 HECTARES

57

As the industrial land start to be taken up progressively in EnyimbaEconomic City, there will be a need for a full-fledged business andfinancial center to facilitate the growing economic transactions arisingfrom the flourishing industrialization.

This is the commercial, retail & hospitality land use located within othercommercial land use predominantly within the CBD and other zones.

Furthermore, as the new Economic City prosper into the new decadewith a gradual increase in population, social demand for city livingwill be propelled for those in search of the ‘big city’ lifestyle.

The CBD will form the commercial and business centre, and be heavilycharacterized by prominent features. They include high density of well-connected roads and building network, multi-storey condominiums andhotels, modern shopping malls and pedestrian precincts, central park,cultural and historical attractions, monuments, museums, office towers,financial and banking towers, government offices, civic buildings andMNCs headquarters. These will best represent the central core imageof Enyimba Economic City.

Ultimately as Enyimba progresses into the future, various land uses willmature over time with the incremental demand for city life. The realestate value of the CBD will naturally be enhanced and form the mostpremier district of the city.

Based on the number of new jobs and expected living population inEnyimba Economic City, the population growth will bring about a bigchange in the economy of the Southsouth and Southeast. The growthin population will fuel greater demand for more residential homes,schools and public facilities for families. It will also generate moredemand for office spaces for business and investment needs, retail,services and hospitality, among many others.

The CBD is predominantly zoned for commercial use to ensure a criticalmass of office uses which will reinforce the positioning of the area as anew investment hub.

Covering a combined area of 820 hectares, the CBD will have zones thatcollectively represents the strength of the CBD. Each of the zonespossesses unique qualities which contribute towards the diversity andvibrancy of the city. The zones may include:• Financial Center• Retail & Shopping Belt• Arts and Culture• Government-related Offices & Public Institutions• Public Plaza & Green Interactive Spaces• Mixed-use Zone to include some residential areas

The residential use such as Service Apartments in Commercial Zone willkeep the population in the city beyond office hours and make the citynight life more interesting.

58

Projected annual absorption rate for commercial, retail & hospitality is as shown.

Commercial, Retail & Hospitality Land Absorption

1041

264

566

820

-

100

200

300

400

500

600

700

800

900

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040

Com

mer

cial

, Ret

ail &

Hos

pita

lity

Land

Abs

orpt

ion

(Cum

ulat

ive

Hect

ares

)

59

AVIATION, 461 HECTARES

As Enyimba Economic City progresses into thefuture, it is planned to have an internationalairport that will further establish the city as alogistics and global economic hub. A hugeopportunity also exists for Aviation TrainingSchool and airplane maintenance hanger, ascurrently there is no maintenance hangeroperational in the whole of West AfricaRegion.

Projected annual absorption rate for aviation is as shown.

Aviation Land Absorption

- -

111

461

- -

50

100

150

200

250

300

350

400

450

500

Year 2020 Year 2025 Year 2030 Year 2035 Year 2040

Avi

atio

nLa

nd A

bsor

ptio

n(C

umul

ativ

e He

ctar

es)

60

OVERALL INFRASTRUCTURE PLAN

4

OVERALL INFRASTRUCTURE PROVISION.............................

INFRASTRUCTURE DISTRIBUTION PLAN…............................

• POWER SUPPLY PLAN…………………………………........

• WATER SUPPLY PLAN……………………...........................

• COMMUNICATION & SURVEILLANCE..….......................

• SEWERAGE……………………………………………………

• SOLID WASTE…………………………………………………

• STORM WATER DRAINAGE…………………………………

61

62

63-65

66-67

68

69-71

72-74

75-76

4

OVERALL INFRASTRUCTURE PLAN

61

As a key pillar, infrastructure development plays aparamount role in determining the success of the EnyimbaEconomic City.

The strategic directions for infrastructure planning aresummarized as follows:

• To optimize the use and efficiency of existinginfrastructure

• To provide the highest standard and quality ofinfrastructure and utilities services

• To gear towards supporting a clean sustainable andhigh quality living environment

Existing ConditionThe Imo River and the Azumini blue river bound the newcity on the west to south and the east, which provide thepotential for water supply, drainage and treated sewagedischarge.

There are existing transportation network passing throughthe site and nearby area, including:

• National highway A3 (Port Harcourt-Enugu)• Major and minor roads• Railway from Aba to Port Harcourt

In addition, power lines & oil and gas pipes are presentwithin the site and nearby area.

Enyimba Economic City Development Company Limitedproposes to:

To take concession of the following roads from FederalGovernment, and rebuild and improve on them from four(4) lane to six (6) lane roads:

• Enugu/ Port Harcourt (green/ existing)

• Akwa Ibom/Enyimba Economic City/ObinzeOwerri (green/ existing)

• Onne Port/ A3 (black/ proposed)

The importance of this is that the new City becomes thecenter of Southeast and Southsouth of Nigeria,connecting 9 States and all major cities with One and ahalf (1.5) hours’ drive time, maximum. It will draw all theeconomic activities proposed in the city from captivepopulation of all the nine states in the Southeast/Southsouth Nigeria.

OVERALL INFRASTRUCTURE PROVISION

62

INFRASTRUCTURE DISTRIBUTION PLAN

63

POWER SUPPLY PLAN

PROPOSED POWER SUPPLY• 2 nos. 330/132/33kV (3 x 150MVA transformers

each SS and 3 nos. of 132/33kV (3 x60MVA eachSS) substations are proposed for the city.

• Interconnections between the 330kV substationsare run mostly along the main highway.

• A total underground cabling system is proposedfor all network within the development. Cablecorridor for transmission cables is about 10m,and 3m for distribution cables on both sides ofroad reserves.

• Downstream distribution network involvesmedium voltage substations of 33kV and 11kV inring network.

• The strategic direction for the developmentarea is to provide adequate, reliable, andquality power supply to the area.

0 1 2 4km

4km²

16km²

540MW Dedicated Power Generation

Geometric 141MW Power Plant Osisioma

Proposed 2 Nos of 330/132/33kV Substation (5ha each)

Proposed 3 Nos of 132/33kV substation (2.5ha each) upstream source from Geometric Power

Proposed 132kV overhead lines from Geometric Power

Proposed power line to follow proposed expressway

Geometric 141MW Power Plant Osisioma

540MW Dedicated Oma Power Generation. Joint Venture of Shandong Ruyi & Geometric Power

64

The power requirement for the city based on land use isas indicated Land Use Zoning Total Power

Demand (MW)

Industrial 671Logistics 80Healthcare & Wellness 17.7Entertainment & Recreation 35.7Knowledge & Innovation 22Commercial (Central Business District) 84.4Commercial 46Mixed-Use (Commercial & Residential) 56.7Residential 40.8Green Buffer & Open Spaces 9.2Infra Roads 10.4Infra Utility & Corridor 1.2

Total 1,075

After applying coincidence factor of 0.7 753

65

Geometric Power

Existing power plant:

• Aba including the city is ring-fenced for power supplyby the Federal Government of Nigeria for GeometricPower Limited.

• Installed generation at Osisioma with capacity of 3 x47MW or total of 141MW and 1 on-going generatorwith capacity of 47MW, adding up to capacity of188MW. Eventually capacity can be expanded up to500 MW;

• Agreement reached with Geometric Power toextend 2 nos. 47MW feeder for phase 1 of EEC fromthe plant.

Further Proposed Power Plant:

• Second power plant in OGWE (OMA) is underplanning with first stage capacity of 500MW andeventual capacity of 1080MW;

• Third power plant ADIA is under preliminary study withcapacity of 500MW.

• Shandong Ruyi and Geometric Power Limited haveentered into joint venture under RUYIGP to developOMA for Enyimba Economic City.

• Shandong Ruyi has signed Power PurchaseAgreement for 160MW from the OMA Plant.

66

WATER SUPPLY PLANAdequate water supply is central to life and civilization.Water uses are an important basis of economicdevelopment. Water services are vital for the well-beingof the population and the economic development.

Providing a safe water supply has always proven anengine for driving development and promoting health.

PROJECTED WATER DEMAND

Based on the proposed land use distribution andprojected population, the total water demand is asindicated. The water demand is estimated by using unitwater demand for each land use. The unit water forindustries demand varies according to the industry typeand its valuechain.

Land Use Zoning Total Water Demand(m3 / day)

Industrial 123,070Logistics 22,000Healthcare & Wellness 4,300Entertainment & Recreation 8,730Knowledge & Innovation 5,380Commercial (Central BusinessDistrict)

20,650

Commercial 11,270Mixed-Use (Commercial &Residential)

13,860

Residential 50,180Green Buffer & Open Spaces 33,870Infra Roads 9,550Infra Utility & Corridor 6,530Total 309,390

67

Two potential river sources is considered:

Azumini Blue River to the eastThe potable water transmission pipe from the WTP to thesite will run along the Akwa Ibom / Enyimba EconomicCity road expansion to avoid extra land acquisition.

Imo river to the westThe potable water transmission pipe from the WTP to thesite will run along the new field Azumini/Obinze road toavoid extra land acquisition.

Two Water Storage Facility (WSF) is proposed within thesite. The potable water will be supplied from the WSF tousers via water trunk pipe along the main spine road.

Although surface water from rivers is identified as watersource for the project, other alternative water sourcesincluding ground water, rainwater harvesting andrecycled water are explored to supplement the surfacewater supply.

The source for recycled water is from sewage treatmentplant (STP). The recycled water is treated to standardsrequired for its various uses (i.e. made fit-for- purpose).Recycled water is used for landscaping, industry, etc. 4km

4km²

16km²

Potable Water Transmission.  Water source Blue River

Potable Water Supply‐ Along MajorArterial

Indicative Location of WSF : Water Storage Facility

Potable Water Supply

Potable Water Transmission

Portable Water Transmission from Imo River

RiverRaw Water

Intake Facility

WaterTreatment

PlantUser

Potable Water SupplyPotable Water Transmission

Raw Water Transmission

Water Storage Facility

68

COMMUNICATION & SURVEILLANCE

Enyimba Economic City is designed as a smart city that

will integrate Information and Communication

Technology (ICT) and various physical devices

connected to network like surveillance (Internet of Things

– IoT) to optimize the efficiency of the city operation and

services and connect the inhabitants of Enyimba

Economic City.

Two (2) exchanges are planned for within the city for

future connection to external network via optic fiber.

69

PROPOSED SEWERAGE SYSTEM

Sewage is collected in the city by a system of sewer(pipe) network and transported to a sewage treatmentplant (STP) wherein, it is further treated to acceptablestandards prior to discharge into a water body. STP(s) willbe located at the relatively low terrain to facilitate gravitynetwork.

Sewage will flow by gravitational force in the pipe lineand pumping stations or lifting stations will be provideddepending on the terrain and soil conditions.

To be located at points where there is any undulatingterrain impeding the sewer line, or, when the sewer linehas gone too deep into the ground thus making furtherdeeper construction too expensive or not feasible, thelifting/pumping stations will carry the sewage flow to ahigher elevation to be released for continuing the flow.

Some industrial tenants shall be required to pre-treat theirwastewater to acceptable standards, prior to discharginginto the proposed sewer.

REFERENCE

Indicative Location of STP : Sewerage Treatment Plant

Indicative Location of LS : Lifting Station

0 1 2 4km

4km²

16km²

STP 1(6ha)

LS 1(5ha) LS 2

(5ha)

STP 2 (6ha)

Catchment 01

Catchment 02

Catchment 03

Catchment 04

Catchment 06Catchment 05

SEWERAGE

70

PROJECTED SEWERAGE FLOW

Based on the proposed structure plan, land use distributionand population projection of the various planning areas,the quantity of sewage flow generated is estimated. Thesewage flow is calculated based on 80% of waterconsumption and in addition to that, 10% of average flow isconsidered as infiltration.

Land Use Zoning Total SewageFlow

(m3 / day)Industrial 98,450Logistics 17,580Healthcare & Wellness 3,470Entertainment & Recreation 6,980Knowledge & Innovation 4,300Commercial (Central Business District) 16,520Commercial 9,010Mixed-Use (Commercial & Residential) 11,090

Residential 40,140Green Buffer & OpenSpaces

-

Infra Roads -Infra Utility & Corridor 5,230Total 212,780

Tenant with pre-treatment

Tenant without pre-treatment

Pumping station

Sewer pipe Sewer pipe

SewerageTreatment Plant

Sewerage Concept

71

RECYCLE/REUSE OF TREATED WASTEWATER:

Besides having an efficient sewerage reticulationsystem, improving the recycling system andinfrastructure will also be one of main thrusts inreducing the amount of wastewater. It is desirablethat the treated wastewater is recycled / reusedfor gardening, irrigation, and industry. This aims toreduce demand on the potable water supply andcontributes to sustainable urban development.

The quality of the effluent after treatment shallmeet the standards for discharging into waterbodies in accordance to the regulations.

Further treatment of the treated effluent from STP isconsidered as recycled water, which will be usedfor non- potable purposes like toileting flushing,gardening, etc.

Sewerage Concept with Recycle of Treated Waste water

72

SOLID WASTESolid waste has a very visible impact on the environment.Left alone, it is unsightly and smelly. Worse, it presents athreat to public health, water quality and even the eco-system.

The proposed developments will result in generation ofhuge amounts of municipal solid waste due to urbanizationand more industrial activities.

Effective disposal of the solid waste will be a majorchallenge in making the development more attractive,habitable and environmental friendly.

Waste is collected from designated refuse receptacles andconveyed to open dump sites from where it is conveyed toGovernment landfill in the interim.

In the future, modern waste recycle technology will beemployed to manage waste from the city.

4km²

16km²

SWF 1 (5ha)

SWF 2 (5ha)

0 1 2 4km Proposed Solid Waste Facility Distribution

73

PROPOSED SOLID WASTE SYSTEM

The final disposal site will be the landfill sites planned by thestate government. It is not advisable to locate landfill sitewithin the project site.Two Solid Waste Facility will be proposed within the industrialarea. The solid Waste Facility can co-locate with STP.

The Solid Waste Facility will include the following functions:• Waste transfer station: waste from all over the site will be

centralized here before sending to the landfill site.

• Resource recovery through sorting and recycling i.e.recovery materials such as paper, glass, metals etc.through separation.

• Resource recovery through waste processing i.e.recovery of materials such as compost or recovery ofenergy through biological, thermal or other processes.

• Waste transformation (without recovery of resources)through reduction of volume, toxicity or otherphysical/chemical properties of waste to make itsuitable for final disposal.

The enforcement on the reducing waste at source,increasing the overall recycle and reuse rate of wasteamong the communities instead of keep increasing thenumber of landfill site will help to gear the developmenttowards Zero Waste and Zero Landfill.

REFERENCE

Indicative Location of SWF : Solid Waste Facility

74

PROPOSED SOLID WASTE SYSTEM

The solid waste disposal is proposed to be an integratedapproach embracing the collection, transfer, recovery,treatment (for hazardous waste) and disposal of both non-hazardous and hazardous waste respectively. The proposedintegrated solid waste disposal system is very much in line withand proposed development. To implement proper wastedisposal, various aspect is considered.

These include collection and transfer, screening, sourcereduction, waste segregation, on-site storage, processingtechniques and disposal.

Solid Waste Concept

Land Use ZoningTotal Solid Waste

Generation (m3 / day)

Industrial 403Logistics 133Healthcare & Wellness 1Entertainment & Recreation 9Knowledge & Innovation 10Commercial (Central Business District)

40

Commercial 22Mixed-Use (Commercial &Residential)

65

Residential 183Green Buffer & OpenSpaces

-

Infra Roads 52Infra Utility & Corridor 6Total 924

PROJECTED SOLID WASTE GENERATION

Based on the land use distribution and populationprojection, the amount of solid waste has been worked outfor various land uses.

75

STORM WATER DRAINAGEAs new initiatives, retention ponds will be introduced at thedischarge outlet points as part of flood alleviation measures.A retention pond is an artificial flow control structure that isused to contain flood water. Retention ponds are used tomitigate the effects of storm water runoff by providingstorage. The objective of a retention facility is to regulate therunoff from a given rainfall event and to reduce the impacton downstream storm water systems.

Successful retention facilities also have strong recreational orother community uses. Planning for retention will also considerthe social, environmental, and recreational needs of eachcommunity.

As an integral part of the community it serves, a retentionpond needs to blend into the landscape and into thecommunity, such as introducing gentle side slopes, plantingof trees and shrubs, and other landscaping features whichcan transform a retention basin into an attractive amenity forthe neighbourhood.

The site is divided into 6 catchments based on the terrain.Drainage flow within each catchment is collected andtransported to the proposed retention pond beforedischarging out of the site. Retention pond is located atlower point of the catchment to facilitate gravity drainagesystem. The size varies based on site condition. The collectedrainwater in the retention pond is used for non-portablepurpose.

The surplus rainwater is discharged to the river via createdchannel between the site and the river.

Catchment 01

Catchment 02

Catchment 03

Catchment 04

Catchment 06Catchment 05

0 1 2 4km

4km²

16km²

Indicative Retention Pond Location

76

STORM WATER DRAINAGE SYSTEM

The proposed scheme is aimed to achieve a moresustainable storm water drainage system. It shall also formpart of the water management scheme by integrating therain water harvesting facilities and self- cleansing rain watertreatment elements in the system.

The strategic directions for storm water drainage system forthe city is as follows:

• Effective drainage is developed as control plan tomanage surface runoff disposal – Flood Prevention

Road side drains shall be provided along both sides ofthe roads, which collect and convey the surface runofffrom the land plots and carriageway to the dischargeoutlet drain. Traditionally, surface runoff enters into theroad side drain directly without any treatment,detention or retention within each development site.However, in the sustainable drainage scheme, surfacerunoff will be retained, detained and treated by thevarious treatment features prior to discharging into theroad side drain.

• Suitable flood control measures to alleviate flooding –Flood Alleviation

Retention ponds shall be proposed to mitigate theeffects of storm water by providing certain storage so asnot to stress the carrying capacity of downstream rivers.On the other hand, the stored rainwater can be reusedfor some non-potable purposes.

Storm Water Drainage Concept

BUSINESS CASE

5

5

FEASIBILITY ANALYSIS……………………………………………..

• UNDERPINNING PRINCIPLE OF THE DEVELOPMENT…........

• COST CENTRES ……..……………………………....................

• FEASIBILITY AND OUTLINE BUSINESS CASE

ASSUMPTIONS….................................................................

• COSTING STRATEGY……………………………………………

• REVENUE………………………………………………………….

• ANNUAL LAND ABSORPTION PROJECTION BY

COMPONENTS OVER 20 YEARS……………………………...

• RISK ASSESSMENT………………………………………………

• RISK ASSESSMENT BASIS……………………………………….

• RISK ASSESSMENT TABLE……………………………………….

• RISK MITIGATION……………………………………………….

77

77

78

79

80

81

82-84

85

86

87

88

BUSINESS CASE

77

FEASIBILITY ANALYSIS

The city will be developed mainly through private capitaland therefore must be bankable.

As a result of the size of fund required and the lengthygestation period of the project, projected at 20 years,phasing becomes absolute, with each phase showing clearfinancial viability.

The City Developer, Enyimba Economic City DevelopmentCompany Limited (EECDC) will operate solely as a landcompany. Initially, that is provide infrastructure, road,power, water, telecom, etc. solely or by concessioning to athird party and by so doing, hold stock of serviced land. Itwill sell or lease to developers/investors for different uses.Subsidiary companies of EECDC are independentcompanies and will lease land for EECDC for developmentlike other third parties based on market demand.

Subsequently, EECDC will act as a municipal authority/zonemanager for the city.

UNDERPINNING PRINCIPLE OF THE DEVELOPMENT

78

COST CENTRES

For Purpose of Analysis, the following cost centres are recognised:

• Road

• Power

• Water

• Communication & Surveillance

• Sewage and Sanitation

• OPEX

79

OUTLINE BUSINESS CASE ASSUMPTIONS

• Enyimba Economic City will enjoy complete taxholiday from all federal, state and localgovernment taxes, rates and levies

• Average land utilisation efficiency is 80% of Grossland area

• Project Construction phase – 20 years

• All outside fence road infrastructure investmentswill be treated as separate projects and funded assuch, supported by business case as toll roads

• Phase one development will be completed withinthe first five years of construction

• Cost of debt and cost of equity are assumed to be10% and 20% respectively. Each is expected togrow at about 5% annually

• The weighted cost of capital (cost of finance) is 12% and the average weighted cost of capital over the 20 years of project development is 11.34%

• Project capital structure (Debt: Equity Ratio) is assumed at 80%:20%

• Selling price of land per square metre is expected to grow at 20% every 5 years

• Infrastructure development cost per square metre is expected to grow at 5% every 5 years

• Operational expenses is expected to grow at 5% every 5 years

• The base selling price for land sale will fall within a range $50-$80/square metre for different uses

• EECDC’s developer margin has been factored into the selling price per square metre at 20% - 30%

• The model has been built on worst case scenario of cost and revenue

80

COSTING STRATEGY

COST OF LAND ACQUISITION & PREPARATION

USD 0.18per sq. meter

DEVELOPER MARGIN

20% - 30%OF COST

• Survey• Legal• Studies• Design• Approvals• Compensation• Licenses

• Road• Power• Water• Communication &

Surveillance• Sewage and Sanitation

USD 50 per sq. meter (On Net Area)

Typical profit margin considered basis benchmarks across similar projects around the world

On Gross Area

• Administration• Marketing & Agency• Salaries & Wages• Fees• Cost of Finance

On Gross AreaUSD 32.29per sq. meter

COST OF INFRASTRUCTURE/

DEVELOPMENT

On Gross AreaUSD 4.82per sq. meterOPEX

USD 37.29per sq. meter

TOTAL

81

REVENUE

As a land company, revenue is from land off-take

for various uses. That is, it is considered as a form of

production and sale (cost of providing services per

square metre of land and revenue from sale of the

square metre).

Municipal services and charges will not have

consideration in the financial analysis or feasibility

of the development at this stage.

This will be dealt with, as a different business

subsequently in management of the city.

82

ANNUAL LAND ABSORPTION PROJECTION BY COMPONENTS OVER 20 YEARS

Land Development

Roll-Out By Township (Ha)

Project Clusters

Net Land

Year 1

Year 2

Year 3

Year 4

Year 5

Year 6

Year 7

Year 8

Year 9

Year 10

Year 11

Year 12

Year 13

Year 14

Year 15

Year 16

Year 17

Year 18

Year 19

Year 20

INDUSTRIAL TOWNSHIP ONELOGISTICS AND INLAND PORT

Logistics394 71 71 79 87 87 - - - - - - - - - - - - - - -

Inland Port152 27 27 30 33 33 - - - - - - - - - - - - - - -

INDUSTRIAL AREA

Industrial Land 518 93 93 98 104 129 - - - - - - - - - - - - - - -

Residential66 - 7 13 20 27 - - - - - - - - - - - - - - -

Commercial12 - - 3 3 5 - - - - - - - - - - - - - - -

Trailer Parks132 - 20 33 36 44 - - - - - - - - - - - - - - -

Wholesale Market 77 - 15 17 18 26 - - - - - - - - - - - - - - -

INDUSTRIAL TOWNSHIP TWO

Oil and Gas Industrial

Land1107 - - 44 55 77 89 100 100 111 122 122 133 155 - - - - - - -

Residential84 - - 3 4 6 7 8 8 8 9 9 10 12 - - - - - - -

Commercial36 - - 1 2 3 3 3 3 4 4 4 4 5 - - - - - - -

83

Land Development

Roll-Out By Township (Ha)

Project Clusters Net Land

Year 1

Year 2

Year 3

Year 4

Year 5

Year 6

Year 7

Year 8

Year 9

Year 10

Year 11

Year 12

Year 13

Year 14

Year 15

Year 16

Year 17

Year 18

Year 19

Year 20

ENTERTAINMENT AREA

Entertainment233 - - - 16 21 28 35 37 44 51 - - - - - - - - - -

Residential82 - - - - 7 10 14 15 17 19 - - - - - - - - - -

MEDICAL CITY Medical City80 - - - - 3 4 6 6 6 7 7 8 10 10 12 - - - - -

EDUCATION CITY Education City144 - - 10 10 10 10 10 10 10 10 10 10 10 10 11 11 - - - -

CBD AREA

CBD Land582 - - - - - 6 12 17 23 29 35 41 47 47 47 52 52 58 58 58

Central Park- - - - - - - - - - - - - - - - - - - - -

Golf84 - - - - - - - - - 24 28 33 - - - - - - - -

INDUSTRIAL TOWNSHIP THREE

Industrial Land

831 - - - 83 108 133 150 175 183 - - - - - - - - -Residential

42 - - - 2 3 4 5 5 6 7 8 - - - - - - - - -Commercial

64 - - - 3 5 6 8 8 10 11 13 - - - - - - - - -MAIN RESIDENTIAL TOWNSHIP

Residential Area

908 - - - - - - - - - 9 27 45 64 82 91 100 109 118 127 136 Commercial Area 103 - - - - - - - - - 23 21 21 21 19 - - - - - -

INDUSTRIAL TOWNSHIP FOUR

Industrial Land

1493 - - - - - - - - - - - 60 90 134 149 164 179 224 239 254 Residential

108 - - - - - - - - - - - - - - 9 13 17 19 24 26 Commercial

45 - - - - - - - - - - - - - - 4 5 7 8 10 11 AIRPORT Airport Land

461 - - - - - - - - - - 111 111 147 92 - - - - - -

TOTAL 7836 191 233 333 394 486 249 307 342 388 503 583 424 468 258 291 359 423 470 545 587

84

-

100

200

300

400

500

600

700

Year1

Year2

Year3

Year4

Year5

Year6

Year7

Year8

Year9

Year10

Year11

Year12

Year13

Year14

Year15

Year16

Year17

Year18

Year19

Year20

Industrial Land Use Logistics Land Use Residential Land Use Commercial Land Use

Entertainment Land Use Medical Land Use Education Land Use Airport Land Use

RISK ASSESSMENT• The specific risks for the EEC project has been

considered in detail. The risk analysis and approachin managing these risks followed the processoutlined below:

Risk Management Process

85

RISK ASSESSMENT BASIS

Depending on how it is scored on both probability ofoccurrence and impact, an event can be classified ashigh, medium or low risk. This stage also involvedunderstanding the causes of risks and theinterrelationships between various risks.

Probability Definition Impact Rating scoring –Threats

Impact Rating scoring –Opportunities

1 Improbable 1 Insignificant 1 Beneficial

2 Could happen 2 Marginal 2 Advantageous

3 As likely as not 3 Serious 3 Significant

4 Probable 4 Critical 4 Major

5 Highly probable 5 Catastrophic 5 Exceptional

86

RISK ASSESSMENT TABLE likelihood of occurrence Impact Product Primary owner

RISK CATEGORY 1 to 5 1 to 5Environmental and Social

Pollution 2 4 8 EECDSocial/community unrest 2 4 8 Government/EECDSTD's 4 2 8 EECD/Govthazardous industrial waste 4 3 12 EECD

Legal and RegulatoryChange in Law- adverse 1 1 1 Governmentpotential law suits 4 2 8 EECDPoor legal enforcement 2 3 6 Government

Economic & FinancialEconomic growth assumptions not met 2 3 6 EECD

Regional economic slowdown 1 2 2 EECDExchange rate variation 4 4 16 EECDForex convertibility 2 4 8 Government/EECDCost escalation 2 3 6 EECDInflation 2 2 4 EECDlack of Investors 3 4 12 EECDInterest rates - higher than assumed 2 3 6 EECD

PoliticalChange in Government 5 1 5 EECDChange in Government policy 2 2 4 GovtRegional Political unrest 2 3 6 GovtPoor security 3 4 12 Government/EECD

Governance and ManagementInadequate governance structure 1 4 4 EECDmajor Corruption 1 4 4 EECDmanagement disruption 1 3 3 EECDSuccession 2 2 4 EECD

ConstructionCost overun 2 3 6 EECDTechnical standards not met 1 3 3 EECDTrained manpower 3 3 9 EECD

OperationsPower supply 1 4 4 EECDWater Supply 1 4 4 EECDCommunication 1 4 4 EECDTrained manpower 1 3 3 EECDInadequate change management 2 3 6 EECD

Key :High mitigation priority Medium mitigation priority Monitor closely

Key :1 – Least likely To Occur/Little Impact5 – Very Likely To Occur/Very High Impact 87

Key :1 – 5 Green6 – 10 AmberAbove 10 Red

RISK MITIGATION

• Measures to ensure that probability of occurrenceand/or the severity of impact of risk and how thiscan be reduced during the entire project life cyclewill be put in place.

• Part of the measures will involve identification ofowners who will be responsible for ensuring thatmitigation measures are implemented and areeffective.

• A Risk Register, identifying and tabulating all risks isprepared. As project proceeds, actions plans willbe developed for mitigating and tackling the risks.Risk with high impact and high probability will fallunder the direct purview of the Chief executive ofEECD.

• The risk will be reviewed periodically.Appropriate milestones will be set when individualrisks are reviewed.

• The review will evaluate issues like whether or notthe risks identified are still relevant, whether thereare any new risks that have come about, andwhether the mitigation measures identified for theexisting risks have been effective. The Risk Registerwill be updated and communicated to all relevantstakeholders.

88

PROJECT STAGING & START UP

6

6

PROJECT STAGING……………………………........................

PHASE 1 DEVELOPMENT (2020 – 2025)……………………….

• LAND USE PLAN................................................................

• INDUSTRIES, 518 HECTARES……………………..................

• INLAND PORT & LOGISTICS CLUSTER………….................

• WHOLESALE MARKET, 77 HECTARES………………………

• TRAILER PARK, 132 HECTARES…..…………………………..

• SUPPORTING REAL ESTATE, 78 HECTARES…...……………

PHASE 1 INFRASTRUCTURE PLAN…………….........................

• PHASE 1 POWER SUPPLY……..………………………………

• PHASE 1 WATER SUPPLY...……………………….................

• PHASE 1 SOLID WASTE……………………………………….

• PHASE 1 ROAD……………………….……………………….

• PHASE 1 COMMUNICATION & SURVEILLANCE……..……

FEASIBILITY AND FINANCIAL ANALYSIS……………………..

• ANNUAL LAND ABSORPTION PROJECTION BY

COMPONENTS OVER 5 YEARS……………………………...

89

90

90

91-92

93-94

95-96

97-98

99-100

101

102

103

104

105-106

107

108

108-109

PROJECT STAGING & START UP

89

The Project is envisaged to be fully developed within 20years with the starting year of operation in year 2020. Thereasons that the Project requires longer time to completeare because of:

• Market Absorption rates – due to the Project Site isgreenfield. It may take slightly longer period to gainvisibility and attract investors to the city.

• Large Land Banks – The Project Site is considered one ofthe largest development on a Greenfield site in Nigeria.Having anchor tenants that acquire large land area willshorten the development period.

• Huge Capital Investment – Due to large land scale, thedevelopment cost particularly the infrastructure cost ishigh for the project to be completed within a shortertimeframe.

The staging of Enyimba Economic City envisioned that theland north of A3 Expressway with direct connection to theexpressway will be developed first to immediatelycapitalize on the existing access and key utilities corridorand transport hubs.

PROJECT STAGING

90

PHASE 1 DEVELOPMENT (2020 – 2025)

OGWATI OSATT

A

OGWE

UMUAKAI

OBEHIE

OBIGA

IHIE

OWALA

OWOASA

OBGU

BROAD LAND USE ZONINGNET LAND

AREAEMPLOYMENT POPULATION

HA %

1. INDUSTRIAL 518 35 31,080

2. LOGISTICS 394 26 23,640

3. WHOLESALE MARKET 77 5 4,620

4. TRAILER PARK 132 9 7,920

5. INLAND PORT 152 10 9,120

6. COMMERCIAL 12 1 720

7. RESIDENTIAL & SOCIALFACILITIES

66 4 38,824

DEVELOPABLE AREA 1,351 90 77,100 38,824

8. GREEN & OPEN SPACE 38 3

9. RAIL RESERVE 6 0

10. ROADS 80 5

11. INFRA UTILITIES 14 1

12. UTILITY CORRIDOR 10 1

NON-DEVELOPABLE AREA 148 10

TOTAL LAND AREA 1,499 100

LAND USE PLAN

91

SERVICE PLOTS

• Industrial land will be subdivided into plot allocation invarious sizes.

• Smallest plot size (less than 1 ha) will accommodatemin. 1 factory building with decent footprint.

• All factory facilities shall be contained within site. Thisincludes car park, temporary heavy vehicle park,loading and unloading, waste storage, green area, rawmaterial and processed goods, etc.

• Proposed green corridor that crisscrossing the industrialcluster will allow short-cut for infra utilities. Most of theinfra utilities are buried underground. The surface willalso double-up as pedestrian and cycling links.

• Preferred loop-road system from Major Arterial toindustrial cluster. Roads configuration is straight toensure heavy vehicle can maneuver swiftly.

• Road hierarchy cascades from major arterial to localaccess and the distribution is based on function andcapacity.

• Local access with cul-de-sac is limited to small numberof plots. The length from junction to cul-de-sac is notmore than 150m.

• Access to industrial land parcels is preferably from lowercategory roads. Direct access from Major Arterial (50mROW) to industrial land parcels abutting it is notencouraged.

AnchorShandong Ruyi Plot

INDUSTRIES, 518 HECTARES

Ruyi Plot, 301 Hectares

92

• No roadside parking is allowed. Heavy vehicles andindustrial goods shall be kept within premises. Heavyvehicles that require parking shall be directed to TrailerPark located at the entrance of CMP development,along A3 Expressway.

• Industrial plot sizes are ranging from 0.5ha to 4ha.

• Plots facing major arterial are considered as Prime LandParcels - typically large size are reserved for majorinvestors/anchors. Access to the plot is from lowercategory road at the back.

• Other large land parcels are distributed at the site’speriphery particularly areas which have odd shapes. Thetight corners will be used for parking, green, utility andstorage.

• Smaller land parcels are distributed in the middle inregular sizes to provide flexibility for plot amalgamation orsubdivision.

• Land parcels can be amalgamated to create thedesired land size.

Anchor

Memorandum of Understanding has been signed withShandong Ruyi as an anchor tenant for 300 hectares of land,and discussions are on-going with 4 others.

READY-BUILT FACTORY

• Proposed Standard Design Factory (SDF) also known asReady-built Factory (RBF).

• To be developed by the master or sub developer tosupport Investors that requires quick set-up.

• Target investors shall also be the small entrepreneurialfirm that requires small footprint to start operation andhas the potential to grow bigger.

• Modular plot size (less than 1ha) for easyamalgamation.

• Plug-n-play (building with utilities) allowing investors toquickly start their operations as soon as they move in.

93

INLAND PORT & LOGISTICS CLUSTER

Inland Port Logistics Cluster

Logistics Activities

Inland Terminal Activities

Retailing &Manufacturing

activities

Warehousing & Storage

Distribution

94

LAND USELAND AREA

HA %

INLAND PORT 152 10

LOGISTICS 394 26

TOTAL 546 36

• Each industrial plot is envisaged to accommodate storageareas within their premises.

• The logistics plot provide flexibility to investors that requiresspecialized area for logistics partners to consolidate theirproducts and services.

• Logistics Partners include those specializing in temperature-controlled storage, bulk commodity such as chemicals/liquids orhazardous material handling, value-added, etc.

• The logistics development designs are usually in modular sizeswhich will be equipped with easy access loading docks fortrucks, raised, floor levels and clear open space to eaves.

95

WHOLESALE MARKET, 77 HECTARES

OGWATI OSATT

A

OGWE

UMUAKAI

OBEHIE

OBIGA

IHIE

OWALA

OWOASA

OBGU

Enyimba Economic City is envisaged as a manufacturing and

logistic hub for Southsouth Southeast Nigeria. As all manners of

goods are produced in city and with presence of the Inland

Port, with time, it will become a major wholesale distribution

centre for goods within the Southsouth and Southeast, the

country and West African Region.

Ariara Market in Aba played the same role at a time, until

connectivity deteriorated. This is recognized in planning the

new city as it affects improvement of existing roads and

construction of new ones.

• Major Arterial Road (dual-3) is the main connecting road

from A3 Expressway to Wholesale Market.

• Direct access to Wholesale Market is permitted but limited

to single ingress/egress. Secondary access will be

permitted but subjects to traffic impact assessment.

96

Admin Centre

Open space for multipurpose use

Green buffer

Wholesale Market

Secured Entrance

Wholesale Market

Centralised Parking Area

CentralisedParking Area

• Alternative access is from existing local

roads which will be upgraded to Minor

Arterial Road. The road is also linked to A3

Expressway.

• Wholesale market has 4 land parcels which

can be developed individually or as 1

integrated Wholesale Center. Circulation

within Wholesale Market is served by

Collector Road that also provide a loop-

road.

• At local level, each Wholesale Terraces will be

served by local access.

• It will be developed as a whole under a

single management.

97

TRAILER PARK, 132 HECTARES

Inland Port Logistics Cluster

• Supporting facility for the Inland Hub.

• Adapt to meet trucking industry

changing needs.

• No longer just refueling station

• Modern facilities to relieve journeying

truckers on long routes.

• Together with the Inland Port &

Logistics cluster, will form an important

transportation hub in the region.

Trailer Park

98

• 132 hectares or 9% of total area inPhase 1

• Proposed 2 Trailer Parks along A3Expressway with area 50ha each.

• Predominant use focuses on heavyvehicles parking supported withancillary uses such as tyre service,trucks repair and maintenance,petrol filling station, truck washservice, truck drivers' rest area,canteen, rest & refresh zone.

• The Trailer Park will have othercommercial uses to attract truckdrivers and visitors. These includebarber, restaurants, coffee shop,retails, accommodation/ hotel/motel, sport bar, convenient store etc.

• Enyimba Economic City proposed amixture between Trailer Parkcommon facilities and commercialuses.

OGWATI OSAT

TA

OGWE

UMUAKAI

OBEHIE

OBIGA

IHIE

OWALA

OWOASA

OBGU

TP1TP2

99

SUPPORTING REAL ESTATE, 78 HECTARES

ResidentialCommercial/ Mixed Use

Social Facilities

Service RadiusTypology Friendly Distance Good mix

100

OGWATI OSATT

A

OGWE

UMUAKAI

OBEHIE

OBIGA

IHIE

OWALA

OWOASA

OBGU

01

02

03

• Residential developments in Phase 1 will include Villas, Multi-

Storeys and Dormitory for staff accommodation.

• The commercial development in this phase is mainly for

commercial, retail, trading activities, supported with offices,

shopping complexes, convention and exhibition centre, hotels,

food centre etc.

• Amenity/community centre.

Residential

Commercial

101

PHASE 1 INFRASTRUCTURE PLAN

102

GEOMETRIC POWER

Existing power plant:

• Aba including the Enyimba Economic City is ring-fenced for power supply by the Federal Governmentof Nigeria for Geometric Power Limited.

• Installed generation at Osisioma with capacity of 3 x47MW or total of 141MW and 1 on-going generatorwith capacity of 47MW, adding up to capacity of188MW. Eventually capacity can be expanded up to500 MW;

• Agreement reached with Geometric Power toextend 2 nos. 47MW feeder for phase 1 of EEC fromthe plant.

Further Proposed Power Plant:

• Second power plant in OGWE (OMA) is underplanning with first stage capacity of 500MW andeventual capacity of 1080MW;

• Third power plant ADIA is under preliminary study withcapacity of 500MW.

• Shandong Ruyi and Geometric Power Limited haveentered into joint venture under RUYIGP to developOMA for Enyimba Economic City.

• Shandong Ruyi has signed Power PurchaseAgreement for 160MW from the OMA Plant.

Land Use Zoning Total PowerDemand (MW)

Industrial 242Logistics 108Wholesale Market 5Trailer Park 2Inland Port 15Commercial 9Residential 7

Green Buffer & OpenSpaces 2Utilities 5Infra Roads 3Total 418

After applyingcoincidence factor of 0.7 292

Estimated Power Demand for Phase 1

PHASE 1 POWER SUPPLY

Land Use Zoning Total Water Demand (m3 / day)

Industrial 28,361

Logistics 6,330

Wholesale Market 3,587

Trailer Park 553

Inland Port 2,536

Commercial 1,555

Residential 11,104

Green Buffer & OpenSpaces

2,266

Roads 1,335Total 57,627

Based on the proposed land use distribution and projected

population, the total water demand has been worked out.

The water demand is estimated by using unit water demand

for each land use. The unit water for industries demand

varies according to the industry type and its value chain.

Land Use Zoning Total Sewage Flow (m3 / day)

Industrial 22,688Logistics 5,064Wholesale Market 2,868Trailer Park 442Inland Port 2,028Commercial 1,244Residential 8,883Green Buffer & OpenSpaces -

Infra Roads -Infra Utility & Corridor -Total 43,217

ESTIMATED SEWERAGE DISCHARGE

PHASE 1 WATER SUPPLY

103

Land Use Zoning Total Solid Waste Generation (tonnes/

day)Industrial 92

Logistics 38

Wholesale Market 13

Trailer Park 3

Inland Port 15

Commercial 4

Residential 40

Green Buffer & OpenSpaces -

Infra Roads 7

Infra Utility & Corridor -

Total 212

PHASE 1 SOLID WASTE

104

105

• Services Zone: The services corridor housesall the underground services for theexisting and proposed services. Anydiversion or laying of new services wouldbe carried out within the corridor. Theservices corridor is usually located alongthe verge of the road. Footways and cycleways that should be segregated from thecarriageway for safety reason are alsolocated within the verge.

• Medians: Medians are used to separateopposing traffic lanes on 2-way roads.They provide protection from interferenceby opposing traffic, provide additionalspace for crossing and turning vehicles atat-grade junctions, and allow pedestrianrefuge in urban areas.

• Carriageway: The carriageway wouldhave the required number of traffic lanesbased on the projected traffic volume.

• Pedestrian walkways: Pedestrian walkwaysare set at the further ends of the roadreserve, away from the carriageway. Theplanting strip in between the carriagewayand the pedestrian walkways will act as abuffer to prevent vehicles- pedestriansaccident and to reduce pedestrian’sexposure to pollutants expelled byvehicles.

Road Hierarchy Plan of Phase1

PHASE 1 ROAD

106

107

PHASE 1 COMMUNICATION & SURVEILLANCE

• A single exchange is planned for within the phase1site, for future connection to the external networkvia optical fibre.

REFERENCE

Indicative Telecommunication Centre

108

Land Development Roll-Out By Township

(Ha)Net Land Year 1 Year 2 Year 3 Year 4 Year 5

Industrial Land 518 93 93 98 104 129

Logistics and 394 71 71 79 87 87

Inland Port 152 27 27 30 33 33

Residential 66 - 7 13 20 27

Commercial 12 - - 3 3 5

Trailer Parks 132 - 20 33 36 44

Wholesale Market

77 - 15 17 18 26

Total 1350 191 233 273 301 351

ANNUAL LAND ABSORPTION PROJECTION BY COMPONENTS OVER 5 YEARS

109

-

50

100

150

200

250

300

350

400

Year 1 Year 2 Year 3 Year 4 Year 5

Industrial Land Use Logistics Land Use Inland Port Land UseResidential Land Use Commercial Land Use Trailer Park Land UseWholesale Market Land Use

MUNICIPAL MANAGEMENT

7

7

MUNICIPAL AUTHORITY………………………........................

MUNICIPAL ORGANOGRAM………………………………….

MARKETING………………………………………………………

• KEY MARKETING CHANNELS & TOOLS............................

• MARKETING STRATEGY………………………….................

• MARKETING FACT SHEET…………….………….................

PROGRESS TO DATE……………………………………………..

110

111

112

112

113

114-119

120-121

MUNICIPAL MANAGEMENT

110

MUNICIPAL AUTHORITYAUTHORITY FUNCTIONS

• Planning and development control

• Set policies, regulations and guidelines

• Manage and operate the soft and hard infrastructure.

• Approval

• Enforcement

111

MUNICIPAL ORGANOGRAM

112

KEY MARKETING CHANNELS & TOOLS

Media – Newspapers, Magazines, Website,

etc.

Special AlliancesMarketing

Communication Tools

Special Alliance with Key Government Stakeholders (Embassies and Trade

Missions)

Participation on Key Conferences & Events

Alliance with Key Private Stakeholders (Chambers of Commerce and Trade

Groups)

Roadshows

MARKETING

Special Alliance with marketing and investment promotion companies in

target countries

113

MARKETING STRATEGY

• Market Sounding: EECD has already commencedengagement with a number of parties engaged inmanufacturing transfers, infrastructure investment/operation, sector specific developments, financiers andEPC contractors, both locally & offshore.

• Road Shows: Local and Offshore road shows will becarried out in target cities where there are sufficientpool of parties mentioned above. EECD plan to carryout road shows in major selected cities locally andinternationally.

• Strategic Stakeholders Engagement: EECD hasengaged investment/marketing companies locally andoffshore to market Enyimba Economic City. A companyto cover mainland China, Hong Kong and Macau,three different companies to cover Brazil, South Koreaand India respectively. It has also discussed and signedan MDA with International Finance Corporation (IFC), inthis regard to consult on manufacturing transfer toEnyimba Economic City from around the world.

• International Government & Business Engagement: Partof our strategy is to market the Project to governmentand businesses from various countries. EECD hasrecently commenced discussions with the governmentof the United States of America (represented by theirembassy) who have promised to assist in presentingthe Projects to their business community. EECD has alsodone the same thing with Government of South Africain Johannesburg. EECD will adopt this strategy withother countries that Nigeria has business relationshipwith.

• Strategic Advertisement & Marketing: EECD plans to setup a specially dedicated marketing team for theProject in order to garner local and internationalvisibility and acceptance. Key advertisement channelswill be deployed in the near future some of which willinclude the Economist Magazine, Financial Times, CNNand other sources.

• Anchor Tenants: EEC has commenced discussion withanchor tenants locally and from offshore including fromChina and Germany.

114

MARKETING FACT SHEET

CONTACT DETAILSCONTACT DETAILSWebsite: www.eecdgroup.comEmail: info@eecdgroup.comPhone: C Darl Uzu - +234 803 423 0455

‘ECONOMIC CITY

DESCRIPTION

‘ECONOMIC CITY

DESCRIPTION

Enyimba Economic City is a regional integrative project on approximately 9803hectares comprising four Industrial Parks, Logistics / Inland ports, Trailer Parks, WholesaleMarket, Entertainment, Medical, Education, Airport and Life style residential cities.

It is a Private Public Partnership Project between Private Sector, Abia State and FederalGovernments of Nigeria.

Enyimba Economic City is a regional integrative project on approximately 9803hectares comprising four Industrial Parks, Logistics / Inland ports, Trailer Parks, WholesaleMarket, Entertainment, Medical, Education, Airport and Life style residential cities.

It is a Private Public Partnership Project between Private Sector, Abia State and FederalGovernments of Nigeria.

ECONOMIC CITY ADVANTAGES

ECONOMIC CITY ADVANTAGES

1. INDEPENDENT ENERGY SUPPLYThe city is located in Nigeria’s gas rich region and is transversed by three (3) major gaspipelines thus will have access to adequate feedstock which ensures a sustainablesupply of power.

An agreement with Geometric Power to dedicate the 540MW scalable to 1080MW OmaPower plant which is located within the boundary of the city to the city has beenreached. An SPV Ruyi GP between Shandong Ruyi International and Geometric Power toconstruct the first phase of 540MVA has been formed.

A power purchase agreement for 160MW out of the 540 has been signed between RuyiGP and Ruyi Energy Services Limited for the provision of power to the 300 hectaresShandong Ruyi International Fashion Industry Investment Holding Co Ltd complex in thefirst Industrial Park of Enyimba Economic City.

1. INDEPENDENT ENERGY SUPPLYThe city is located in Nigeria’s gas rich region and is transversed by three (3) major gaspipelines thus will have access to adequate feedstock which ensures a sustainablesupply of power.

An agreement with Geometric Power to dedicate the 540MW scalable to 1080MW OmaPower plant which is located within the boundary of the city to the city has beenreached. An SPV Ruyi GP between Shandong Ruyi International and Geometric Power toconstruct the first phase of 540MVA has been formed.

A power purchase agreement for 160MW out of the 540 has been signed between RuyiGP and Ruyi Energy Services Limited for the provision of power to the 300 hectaresShandong Ruyi International Fashion Industry Investment Holding Co Ltd complex in thefirst Industrial Park of Enyimba Economic City.

5

ECONOMIC CITY ADVANTAGES

ECONOMIC CITY ADVANTAGES

2. AVAILABILITY OF LOGISTICS HUBThe city has a dedicated logistics hub, with full custom inland port, intermodal freight ofrail and road as well as trailer park.Manufacturing requires such hub for handling of raw materials and finished good fordistribution and export.

3. PROXIMITY TO PORTSThe city has close proximity to two existing ports, Onne and Port Harcourt Ports and theproposed Ibom Deep Sea Port whose bidders include China Harbour Engineering.

4. PROXIMITY TO LOCAL AND INTERNATIONAL AIRPORTSThe city is connected to two /local airports Port Harcourt and Enugu within a maximumof 90 minutes driving distance and Akwa Ibom Local Airport.

5. AVAILABILITY OF RAW MATERIALSNigeria is rich in raw materials, natural occurring raw materials and agricultural produce.

6. CHEAPER LABOUR FORCENigeria has a population of about 193m people out of this number, more than 68% areeducated young people possibly with polytechnic / university degrees

7. SPECIAL ECONOMIC ZONE / FREE TRADE ZONE STATUSWith Investment Incentives.

8. EASE OF DOING BUSINESS LOCATIONAn extra benefit of the site location as a Free Trade Zone is the benefit of one-stopapproval for permits, operating license and incorporation papers.

The Free zone status gives independent regime on immigration, Customs, BuildingRegulation, Security amongst other related issues including Visa on Arrival (VOA)Regime.

2. AVAILABILITY OF LOGISTICS HUBThe city has a dedicated logistics hub, with full custom inland port, intermodal freight ofrail and road as well as trailer park.Manufacturing requires such hub for handling of raw materials and finished good fordistribution and export.

3. PROXIMITY TO PORTSThe city has close proximity to two existing ports, Onne and Port Harcourt Ports and theproposed Ibom Deep Sea Port whose bidders include China Harbour Engineering.

4. PROXIMITY TO LOCAL AND INTERNATIONAL AIRPORTSThe city is connected to two /local airports Port Harcourt and Enugu within a maximumof 90 minutes driving distance and Akwa Ibom Local Airport.

5. AVAILABILITY OF RAW MATERIALSNigeria is rich in raw materials, natural occurring raw materials and agricultural produce.

6. CHEAPER LABOUR FORCENigeria has a population of about 193m people out of this number, more than 68% areeducated young people possibly with polytechnic / university degrees

7. SPECIAL ECONOMIC ZONE / FREE TRADE ZONE STATUSWith Investment Incentives.

8. EASE OF DOING BUSINESS LOCATIONAn extra benefit of the site location as a Free Trade Zone is the benefit of one-stopapproval for permits, operating license and incorporation papers.

The Free zone status gives independent regime on immigration, Customs, BuildingRegulation, Security amongst other related issues including Visa on Arrival (VOA)Regime.

115

5

INCENTIVE POLICIES

INCENTIVE POLICIES

The location of the Economic City is within an area designated as a specialeconomic zone / Free Zone Status and offers the following incentives.

• Complete holiday from all federal, state and local government taxes, rates,and levies.

• Duty free importation of capital goods, machinery/components, spare parts,raw materials and consumable items in the zones.

• 100% foreign ownership of investments.

• 100% repatriation of capital, profits and dividends.

• Waiver of all imports and export licenses.

• Waiver on all expatriate quotas for companies operating in the zones.

• 100% capital allowance in any year of assessment.

• Export into the Nigerian customs territory up to 100% of product produced,assembled or packaged within the Zones;

• Tax exemption on proceeds re-invested

• Tax exemption on gain arising from take-overs, absorption or merger

• Double taxation relief

• Tax exemptions on interest on bonds and short-term securities, and proceedsof the disposal of Government and corporate securities

The location of the Economic City is within an area designated as a specialeconomic zone / Free Zone Status and offers the following incentives.

• Complete holiday from all federal, state and local government taxes, rates,and levies.

• Duty free importation of capital goods, machinery/components, spare parts,raw materials and consumable items in the zones.

• 100% foreign ownership of investments.

• 100% repatriation of capital, profits and dividends.

• Waiver of all imports and export licenses.

• Waiver on all expatriate quotas for companies operating in the zones.

• 100% capital allowance in any year of assessment.

• Export into the Nigerian customs territory up to 100% of product produced,assembled or packaged within the Zones;

• Tax exemption on proceeds re-invested

• Tax exemption on gain arising from take-overs, absorption or merger

• Double taxation relief

• Tax exemptions on interest on bonds and short-term securities, and proceedsof the disposal of Government and corporate securities

116

5

PREFERRED INDUSTRIESPREFERRED INDUSTRIES

LIGHT INDUSTRIES• Leather

• Garment

• Wood products

• Rubber and Plastic

• Printing and Publishing

• Medical Accessories

• Agro Allied Processing

HEAVY INDUSTRIES• Textile manufacturing

• Building Materials and Non-Metallic – Tiles, sanitary wares, iron mongery

• Glass and Glass Products

• Refined Petroleum Products

• Petrochemicals

• Fertilizer

• Pharmaceuticals

• Automobile Assembly and Spare Parts

LIGHT INDUSTRIES• Leather

• Garment

• Wood products

• Rubber and Plastic

• Printing and Publishing

• Medical Accessories

• Agro Allied Processing

HEAVY INDUSTRIES• Textile manufacturing

• Building Materials and Non-Metallic – Tiles, sanitary wares, iron mongery

• Glass and Glass Products

• Refined Petroleum Products

• Petrochemicals

• Fertilizer

• Pharmaceuticals

• Automobile Assembly and Spare Parts

117

TENANTSTENANTS Shandong Ruyi is a major Anchor Tenant requiring 300 Hectares of Land,other 3 anchors deals are under negotiationShandong Ruyi is a major Anchor Tenant requiring 300 Hectares of Land,other 3 anchors deals are under negotiation

ELECTRICITY RATE KILOWATT-HOURELECTRICITY RATE KILOWATT-HOUR 0.0903 USD/kwh for bulk purchase and 0.168USD for retail price0.0903 USD/kwh for bulk purchase and 0.168USD for retail price

WATER CHARGEWATER CHARGE 1.55 USD per Ton1.55 USD per Ton

NATURAL GASNATURAL GAS 2.5 USD/MMBtu2.5 USD/MMBtu

118

INDUSTRIAL LAND SELLING PRICE

(MIN)

INDUSTRIAL LAND SELLING PRICE

(MIN)

Introductory Price, subject to change50 USD/Meter SquareIntroductory Price, subject to change50 USD/Meter Square

LABOR COST (MIN) /MONTHLABOR COST

(MIN) /MONTH 105 USD105 USD

LOGISTICS CONVENIENCE

LOGISTICS CONVENIENCE

Airport:• Port Harcourt Airport - 44 km• Sam Mbakwe Intl Cargo Airport – 56 km• Akwa Ibom Airport – 96 km

Sea Ports/ River Ports:• Port Harcourt Seaport – 40 km• River Port (Port of Onne) - 40 km

Airport:• Port Harcourt Airport - 44 km• Sam Mbakwe Intl Cargo Airport – 56 km• Akwa Ibom Airport – 96 km

Sea Ports/ River Ports:• Port Harcourt Seaport – 40 km• River Port (Port of Onne) - 40 km

119

PROGRESS TO DATE• All application requirements including Master Plan,

Feasibility, Environmental and Social Impact Analysisetc. have been submitted to NEPZA and theirapproval have been sent to the President of FederalRepublic of Nigeria for Final Approval andGazetting.

• Project Infrastructure Concept Design has beenconcluded with Surbana Jurong of Singapore anddetailed design is on-going.

• Traffic and Transport Study for the External FenceInfrastructure, namely Road Connectivity (M10,Onne Port to Port Harcourt Airport and Akwa Ibom /Azumini to Obinze, Owerri, Imo State) are on-going,and required to build Outline Business Case for theirDevelopment as Toll Roads that are Critical forConnectivity to the City.

• Project Implementation Framework has beenanalyzed including preliminary costing, phasing andother requirements.

• Project spreadsheet has been prepared andincorporated into the Pre-Feasibility Report.

• Detailed Infrastructure and other designs are on-going for Phase 1 (Start-Up) of the project, thatincludes the First Industrial Township, Inland Port /Logistics, Trailer Park, Wholesale Market, AncillaryDevelopments of Office, Hotel, Apartments,Shopping / Community Center.

• A consortium that includes Group Five of SouthAfrica, Bilal of UAE, China Habour, CCGOC of Chinahas been assembled for the concession of thementioned outside fence Roads.

• Initial Marketing has commenced for the projecttargeting Manufacturing Transfers from China, HongKong, Macau, Brazil, South Korea, Germany andIndia where EECD maintain Marketing Offices/Relationships.

• Outside the signing of MOU with Shandong RUYIGroup on 300 Hectares of Land within the FirstIndustrial City as a major anchor tenant, discussionsare ongoing with 4 other proposed AnchorCompanies. These discussions if and whenconcluded will see to the occupation of most of theFirst Industrial Township.

120

• Term Sheet has been signed with FederalGovernment of Nigeria through Nigeria SpecialEconomic Zone Company (NSEZCO), a jointcompany of Federal Ministry of Industry, Trade andInvestment, Sovereign Wealth Fund and AFREXIM,for the Federal Government Equity Investment of 20Percent in the Project.

• Africa Finance Corporation has indicated interest toprovide funding for the outside fence roadinfrastructure of the City.

• Proposal has been received from IFC to support theproject on Advisory / Financing Capacities

• Africa Development Bank has also indicated interestand discussions are on-going with them.Development Bank of South Africa, brought in byGroup Five, has indicated interest in providingFinancing for the Project, especially in theInfrastructure Development once the OutlineBusiness Case is ready.

• Many Partnership Discussions are on-going in variousSectors, Including Medical / Health with 50 SpecialistDoctors based in the United States for theDevelopment of World Class Reference / TertiaryMedical Facilities, Inland Port / Logistics,Entertainment and Skill Acquisition Institute.

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PARTIES TO THE DEVELOPMENT

8

8

DEVELOPMENT TEAM…………………………........................122

PARTIES TO THE DEVELOPMENT

DEVELOPMENT TEAM

122

Master Planners:Surbana Jurong Consultants Pte Limited Singapore

Land Use Planning And Economic Studies:CBRE, India.

Road Infrastructure:Escher Silverman

Environmental and Social Impact Analysis:Allot Nigeria Limited

Feasibility Studies and Business Modelling:PriceWaterHouseCoopers (PwC), Nigeria.

Financial Consultants/Transaction Dealers:FBN Quest (Merchant Bank)

Engineering Procurement Construction:

CCECC China Civil Engineering Construction Corporation

CGCOC Group, China/ Nigeria

Entertainment/Destination Consultants:AIM Consulting LLC, New Jersey

Legal Counsel:A&E Law Partnership