Okowa Invests N20bn In Delta Floating Gas Company

Okowa Invests N20bn In Delta Floating Gas Company | Daily Report Nigeria

The Delta State Government says it has invested twenty billion naira in a floating gas project in the Warri axis of the state.

This follows an allegation stating that Governor Ifeanyi Okowa- led administration took a fresh hundred billion naira from the Premium Trust Bank.

Fidelis Tilije, the state commissioner for finance, spoke to journalists in Asaba Monday.

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According to Tilije, the above sum was among the one hundred and fifty billion bridging finance facility sought from the two hundred and forty billion naira oil derivation policy.

Citizens of the state had earlier vowed to use all lawful means to resist the move by Okowa to secure another two hundred and fifty billion naira loan barely four months to the end of his tenure.

Also, the opposition All Progressives Congress (APC) reportedly kicked against the fresh loan because Governor Okowa wants to fund his vice presidential ambition and consequently mortgage the future of the unborn generations in the state.

Fejiro Oliver, the whistleblower, had on Thursday alerted Delta residents of a move by Okowa to obtain a one hundred and twenty billion naira loan from Premium Trust Bank.

The facility, according to Oliver, would see Premium Trust Bank provide one hundred billion while Fidelity Bank would provide the balance of twenty billion, which if approved will balloon the state’s debt profile to over four hundred and eighty billion naira– a move that has generated reaction amongst critical stakeholders across Delta.

However, Tilije at the briefing in Asaba, explained that the twenty billion naira was to be invested in a gas floating company of which the condition was the siting of the firm in Warri before the fund could be invested in the project.

He stated that when completed, the project would provide jobs for citizens and increase the state’s internally-generated revenue.

Tilije as well recalled that the state government had earlier received approval from the House of Assembly to obtain N150 billion bridging finance from the N240 billion accrued refunds to the state on the 13 percent Derivation Policy.

He maintained that the needed facility was later reduced to N100 billion by the state government after deliberation with finance houses involved in the arrangement.

According to him, a new lead finance house emerged after the discussion against the one that was the leader at the time the House of Assembly approved for the government to obtain the bridging finance facility.

Tilije stated that with the emergence of a new leading finance agent on the facility, and Okowa’s adherence to due process and law, “we went to the House of Assembly for a fresh resolution on their existing approval in line with prudential guidelines.

He said:

I am drawn into this because we are beginning to see some misconceptions, particularly with regards to the N100 billion discounting facility that the state has taken.

You will also recall too that while we were here before to brief you on this matter, we itemised all the projects we will be doing with the facility, and we are on course with these projects.”


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