By Joe Dinga Pefok
The Director General of the Cameroon Shipyard and Industrial Engineering Ltd, CNIC, Zaccheus M. Forjindam, has disclosed that the overall level of the execution of construction work at the Limbe Shipyard now stands at over 50 percent.
GM-CNIC receiving New Year Wishes
Forjindam made this disclosure in an annual address to personnel of the industrial complex during the traditional end of year ceremony at CNIC's headquarters in Douala on January 7, 2008.
Talking about the ongoing Limbe Shipyard Project, he cited the marine dredging works as well as the 700-metre long breakwater as having been completed and handed over to CNIC on May 14, 2007.
Forjindam said even at this stage of construction work, the site is already bustling with activities like the maintenance of oil rigs. He stated for example, that only one of the oil rigs which the CNIC received for repairs in 2007, was handled at its old Douala site. The rest, he said, were handled at the new Limbe site.
The Director General was hopeful that the overall construction work on the Limbe Shipyard Project should move up to over 70 percent of execution by the end of the year. He, as well, announced that major CNIC technical activities for 2008, will all take place in Limbe, with four oil rigs expected this month for repairs.
Limbe Shipyard
The main objective of the Limbe Shipyard is to provide the industrial
complex with an ultra-modern and suitable industrial facility for the
repair and refurbishment of oil rigs.
A document titled "The Limbe Shipyard Project," prepared by the
Communication Service of CNIC states in part: "over the years, CNIC's
growth in this sector has been handicapped by operational constraints
inherent at the Douala Port: shallow draft, long and narrow access
channel, turbid waters rendering underwater inspection impossible,
limited open spaces for work and dispersed operational sites".
It also highlights the main reason for the choice of Limbe - proximity to the open Atlantic coastline.The Limbe Shipyard was budgeted to cost about FCFA 140 billion. The project is divided into two phases. Phase 1 is comprised of industrial and social components, which covers preliminary studies, site acquisition and compensation for project-affected people, site reconnaissance, training and environmental protection. It also entails construction works and the acquisition of equipment divided into six lots.
It is worth noting that the industrial component was planned to occupy a total surface area of 60 hectares, of which 15 hectares was supposed to be reclaimed from the sea. The institutions to fund Phase 1 which was budgeted at FCFA 84 billion are the African Development Bank, ADB, the Islamic Development Bank, IDB, the Arab Bank for Economic Development in Africa, Dutch Bilateral Funds, FMO/ORET Grant, ING Bank, the Central African States Development Bank, and CNIC itself.
As for the social component of the project, it is envisaged to build 2500 houses for CNIC's personnel in Limbe. Also, following the declaration of the site of the Limbe Shipyard Project by government as a public utility, CNIC had, in accordance with the provisions of the decrees signed to this effect, paid approximately FCFA 1 billion as compensation for housing and crops of the people who were displaced from the site.
Furthermore, CNIC financed the development of a 35-hectare site for the project-affected people, including public and social amenities (roads, electricity, pipe-borne water, health care centre, and community hall).
As for Phase 2, the document discloses that its execution would depend on the evolution of the market. This phase "consists in the extension of the quay, the extension of the breakwater, the execution of other marine and land works as well as the acquisition of corresponding equipment".
Meanwhile, observers are unanimous that apart from the huge financial and commercial benefits which the Limbe Shipyard Project will bring to CNIC's shareholders and the international financial institutions involved, the national economy will also reap enormous advantages from the project. Some of the economic benefits of the Limbe Shipyard Project to the state as analysed by economic experts, will include capital investments, substantial increase in wealth creation (GDP), a positive impact on exports and balance of payment and stimulation to the development of the national economy.
The project will also bring about significant fiscal fallouts to the state and municipalities, to accrue from the local inputs expected during the operational phase. There will be other social benefits like job creation.
"It is estimated that 3325 jobs will be created during the two phases of the project at Year 10 Also, it is estimated that the activities of sub-contractors will lead to the creation of an additional 1000 jobs and that a further 700 jobs will be created by other related activities.
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