Ghanaian Industrial Conglomerate, LMI Holdings is set to commence a competitive freight transportation network on the Volta Lake for the movement of goods from Tema Port to Burkina Faso.
The initiative, known as the Trans-Volta Logistics Project, will include the construction of two new container ports at Mpakadan and Debre, both within the Akwamu district to transport containerized cargo and fuel thereby creating jobs for the affected communities.
The port is expected to aid in the transportation of containers not less than 50,000 a year.
“It’s critical; we’ve had the dam here and we all know that after the creation of the lake, the other thing that needed to be developed was transportation on the lake and not just passenger traffic but cargo as well and it helps very much so that at the end of the Railway line, you’d have to have the port to have that rail line commercially viable and there are a lot of benefits for the country,” the Chief Executive of LMI Holdings, Kojo Aduhene told JoyBusiness at a stakeholder’s forum with the Paramount Chief and elders of Akwamuman.
The project comprises a 400km freight barge route from Mpakadan in the South to Debre in the Savannah region as well as the establishment of a logistics and industrial part at Debre.
The $200 million project which is expected to be completed by 2023, will see the cost of the port infrastructure totalling $60 million, marine assets amounting to $40 million, whiles bulk fuel infrastructure incurring $50 million and additional $50 million expended on access infrastructure.
According to Mr Aduhene, the project is being implemented with adherence to the country’s local content policy and other relevant laws.
He says the project is in early development with ongoing engagements with the Environmental Protection Agency (EPA) regarding environmental impact assessment and permits as well as Ghana Ports and Harbours Authority (GHPA) and Volta River Authority (VRA) regarding a concession agreement.
Job concerns, opportunities
The traditional council members of Akwamuman led by their paramount chief raised various concerns including job creation for the youth. The LMI Holdings CEO allays all their fears and gave a firm assurance that the Ports will benefit the communities and the country as a whole.
He said the project will create direct and indirect employment opportunities for tens of thousands of people in communities around the project sites, service providers and manufacturers of inputs as well as individuals with specialized skills across the country.
The project is expected to serve as a catalyst for industrialization of the North/Sahel, drive cross-border trade and regional integration, reduce cost in annual road repairs by the government, decrease traffic congestion and air pollution in urban centres.
It is also expected to position the Port of Tema as the leading transit hub in West Africa and enhance revenue mobilization for Ghana and Burkina Faso.
About LMI Holdings
Starting operations in 1992, LMI Holdings is a Ghanaian-owned industrial conglomerate with over $300 million in assets and interests in construction, industrial property, utilities and logistics.
The firm has grown into a major group with five primary business groups and over 20 subsidiaries.