Two partner to build logistics centre in Takoradi
The Ghana Supply Company Limited (GSCL) and Tap Forest Mines Limited, a private developing firm, have partnered to construct a $150-million logistics centre at Kejabil, a suburb of Takoradi in the Western Region.
The centre, which would include a five-star hotel, an open space warehouse facility, a parking lot for heavy and smaller vehicles, a clinic, a golf centre and helipad and hanger for light aeroplanes, is expected to open up the business sector in the region and thus attract investors.
Other facilities to be provided at the centre would be a shopping mall, football field and a forest area.
Tap Forest Mines Limited is providing funding for the project, while the GSCL is offering a 67-acre land as part of the Public Private Partnership (PPP) project.
Speaking at a news conference after a memorandum of understanding (MoU) had been signed by the two institutions, the acting Managing Director of GSCL, Mr Joseph Mamboah-Rockson, said when completed the centre would employ over 1,000 Ghanaians.
Agreement details
He said the project was being undertaken on a Build, Operate and Transfer (BOT) system.
BOT is a form of project financing, wherein a private entity receives a concession from the private or public sector to finance, design, construct, and operate a facility stated in the concession contract. This enables the project proponent to recover its investment, operating and maintenance expenses in the project.
Due to the long-term nature of the arrangement, the fees are usually raised during the concession period. The rate of increase is often tied to a combination of internal and external variables, allowing the proponent to reach a satisfactory internal rate of return for its investment.
Mr Mamboah said during the 35-year BOT period agreed on, 20 per cent of the profit from Tap Forest Mines Limited would be given to GSCL as part of the deal.
Asked why GSCL chose Tap Forest Mines Limited, he said the move was to empower local companies to grow and position themselves to bid for international contracts.
Tap Forest ready
The Chief Executive Officer of Tap Forest Mines Limited, Mr Albert Kwabena Tabin, said the first phase of the project was expected to commence in March, this year.
“We have already laid down all the necessary procedures to commence operation. The first phase will see the establishment of an open warehouse for the storage of oil pipes,” he said.
Mr Tabin said completion of the project would make the Western Region the most attractive business centre in the country.
For his part, the Project Coordinator, Togbe Formaho Amedzake III, said funding for the project had been secured.
