Thread by @TradeInvestNG

There's been some inaccurate reports on the FG's Project MINE (Made In Nigeria for Export) initiative and the Nigeria SEZ Investment Company Limited.

Here's a thread on what you need to know about it devoid of the misrepresentations. Please read & RT
Cc: @AsoRock @OkeyEnelamah

Project MINE is a Presidential Initiative, under the supervision of the Minister of @TradeInvestNG to develop world-class Special Economic Zones (SEZs) across Nigeria and boost the manufacturing of ‘Made in Nigeria’ goods for export, regionally and globally.

The STRATEGIC OBJECTIVE of Project MINE is to increase manufacturing sector’s contribution to GDP to 20%, create 1.5 million new direct jobs and generate over US$30bn annually in foreign exchange earnings by 2025, amongst others.

But there's a challenge...

The annual FG budgetary resources for infrastructure & SEZ development is limited.

The SOLUTION: @AsoRock endorsed Project MINE’s implementation strategy to use a sustainable Public-Private Partnership (PPP) model to develop world-class SEZs across Nigeria. Just like the NLNG.

That's why a special purpose public-private partnership (PPP) entity called the Nigeria SEZ Investment Company Limited (NSEZCO) was designed. Through NSEZCO, institutional investors can participate in Project MINE alongside the FGN.

The formation of NSEZCO follows global best practices and processes to long-term financing and development of SEZs.  In June 2018, the FEC approved NSEZCO as the vehicle for implementing Project MINE and for co-investment between the FGN, DFIs & other institutional investors.

Contrary to what you may have heard, NSEZCO is NOT a privately-owned company. It is NOT. It was incorporated as a limited liability company with the FGN represented by the Ministry of Finance Incorporated (MOFI), holding 25% of the shares in NSEZCO at incorporation.

The remaining 75% shareholding was held in trust by A&O Secretarial Services Limited, the Company Secretaries, on behalf of a group of development finance institutions who had indicated interest in co-investing with the FGN in NSEZCO (the Strategic Investment Partners).

The reason it's in trust for them is to allow them complete internal investment approval processes for their shareholding in NSEZCO.  The Strategic Investment Partners include Afreximbank, BOI, NSIA, AFC and AFDB.

Bakari Wadinga, who was Director, Revenue & Investment, Office of the Accountant-General, was appointed as Director representing MOFI. Olufemi Edun and Oluwadara Owoyemi who lead the Project MINE project delivery team were also nominated as Directors by @TradeInvestNG Minister.

Their nominations followed consultation with the Strategic Investment Partners.

Very important to highlight that: NONE of these Directors have any beneficial interest, directly or indirectly in the shares of the Company.

This is quite a long thread, so do bear with us. But it's important to highlight all of the facts so that there is less room for misinformation.

Next, we'll give a progress report on Project MINE.

NSEZCO intends to raise $US500m in equity by 2023 from the FGN, the Strategic Investment Partners and other institutional investors. Currently, NSEZCO is executing a Round 1 equity fund-raising programme for $250million, in tranches.

The Strategic Investment Partners participated in a signing ceremony presided over by President Muhammadu Buhari on the 8th of February 2019. Definitive agreements were signed between NSEZCO, Afreximbank, BOI and MOFI, with NSIA signing an MOU to signify its interest to invest.

Senior Reps of the partners have been nominated to the Board of Directors and NSEZCO is currently carrying out the necessary processes to perfect their appointment and registration at CAC.

The recruitment process for NSEZCO’s substantive management team has commenced.

Early stage predevelopment work has commenced at some of the proposed SEZs including the Enyimba Economic City, Abia, Lekki-Epe Model Industrial Park, Lagos & the Funtua Cotton Cluster in Katsina.

In addition, pre-development studies are ongoing for greenfield SEZs in Benue, Kwara and Sokoto States whilst studies will soon commence in Ebonyi, Edo and Gombe States amongst several others.

Shandong Ruyi Group, the leading integrated textile&garment group in China and one of the largest worldwide, met with Pres. @MBuhari in Sept. 2018 & announced investment commitment of $2bn by way of anchor investments in manufacturing facilities in Enyimba, Kano and Lekki.

Less than two weeks ago, CCCG Industrial Investment Holding Company (CIHC), a subsidiary of China Communications Construction Group ranked 91st in the Fortune 500 companies & 3rd largest international contractor globally, signed a Letter of Intent to...

invest in the Lekki Model Industrial Park Project as a Developer and to be the Lead Investor in a package of external infrastructure projects to serve the entire Lekki Free Zone Area including, power, water, access roads and bridges. 💪

IMPORTANT TO NOTE
Following the incorporation of NSEZCO, the Attorney General of the Federation was asked for his legal advise on the ff:
- Is the establishment of NSEZCO lawful?
- Does it take over the functions of NEPZA?
- Is it lawful to transfer Project MINE funds to NSEZCO?

We would conclude this thread by summarising the Attorney-General's comprehensive legal opinion and advice:
1. NEPZA is NOT the implementing entity for Project MINE and Project MINE is NOT under NEPZA.
2. NSEZCO was not established to take over the functions of NEPZA.

The AGF was clear that:
3. The mandates of NEPZA and NSEZCO are distinct with little or no area of overlap.  NSEZCO is set up to facilitate investments in SEZs. This does not touch on or derogate from the functions of NEPZA under the existing law.

The relationship between NSEZCO and NEPZA is that of sector participant (albeit indirect) and sector regulator. NSEZCO is an investment vehicle and not a regulator while NEPZA is a regulator.

4. The provisions in the Appropriation Acts of 2017 and 2018 were made for Project MINE and not for NEPZA but were domiciled in NEPZA at the specific request of the Honourable Minister of Industry, Trade & Investment.

The AGF concluded with:
5. The transfer of Project MINE funds to NSEZCO is lawful & does not contravene the Appropriation Acts or the NEPZ Act, Therefore, the funds domiciled in NEPZA should be released to NSEZCO to enable her utilise same for Project MINE as approved by FEC.

Thanks for reading. We hope we've been able to correct the misrepresentations.
If you didn't read through the thread, here's the SUMMARY:
Project MINE is a transformational Presidential Initiative to facilitate industrialization. NSEZCO is legal and no wrongdoing in its set-up.