Breaking: APM Terminals Nigeria and Barging Marine Solutions Ink Exclusive Lease to Expand Apapa Port Services
Two Lagos-based logistics players have sealed a long-term, exclusive lease aimed at boosting capacity and linking more efficient barge services to ships sailing in and around Apapa. The agreement runs through September 2031,signaling a major step toward easing congestion and expanding trade flow in Nigeria’s busiest port corridor.
The deal was formalized in a signing ceremony held this week, with APM Terminals Nigeria’s chief executive underscoring the Nigerian market’s solid growth through 2025 and the confidence to invest further in Lagos. He stressed that developing the terminal’s potential and embracing modernisation will help unlock future gains in the port’s operations.
Under the arrangement, Barging Marine Solutions Limited-led by its chief executive-explained that the collaboration builds on a proven working relationship.The partnership will leverage the company’s barging and terminal assets to add capacity and ensure reliable delivery for terminal customers and shipping lines. Two waterfront and inland container terminals, along with barge services, form the backbone of the expanded offering and provide an alternative to road transport, aiming to ease pressure on highways, cut congestion, and reduce logistics costs.
APM Terminals Nigeria’s managing director described the enhanced barge network as a strategic upgrade that shoudl lift reliability and speed for customers. He also noted that the arrangement will streamline coordination across the supply chain, delivering a more seamless experience for end users.
As part of the contract, Barging Marine Solutions Ltd will operate the new services on behalf of APM Terminals, with the two firms collaborating to develop value-added solutions for customers.
| Key Facts | Details |
|---|---|
| Parties | APM Terminals nigeria and Barging Marine Solutions Limited |
| Location | Apapa, Lagos, Nigeria |
| Duration | Exclusive lease until September 2031 |
| Objective | Increase trade capacity; expand barge connections; provide alternative to road transport |
| Facilities | Two waterfront and inland container terminals; barge services |
| impact | Improve reliability, speed, and coordination across the supply chain; reduce congestion and costs |
Evergreen Insights: What this means for port resilience and regional trade
Expanding barge connectivity around Apapa reflects a broader push to diversify transport modes at major West African ports. By offering alternatives to heavy road trucking, such collaborations can reduce bottlenecks during peak periods, lower logistics costs for shippers, and improve on-time delivery. The move also highlights the strategic value of integrated terminal operations that align asset-backed services with carrier schedules, fostering greater predictability in a sector prone to congestion and delays.
For businesses relying on imports and exports through Lagos, stronger inland and waterfront linkages can contribute to more resilient supply chains, provided there is effective coordination across operators, regulators, and transport networks. As global trade patterns evolve,such partnerships may become a blueprint for other ports seeking to balance capacity with efficiency.
What other innovations could further ease Apapa’s congestion and boost trade efficiency in the years ahead?
How do you envision barge-enabled logistics reshaping cost structures for local manufacturers and international shippers?
Readers are invited to share their experiences and perspectives on port improvements and the role of barging in regional trade.
Share your thoughts and insights in the comments below.
## Integrated Barge Terminal – Lagos apapa Port
background: A strategic Move for nigeria’s Maritime Hub
APM Terminals, a global port operator, and Barging Marine Solutions (BMS), a leading inland waterway logistics provider, announced a 15‑year lease agreement for a 35‑hectare waterfront site adjacent to the existing Apapa Port complex. The partnership targets a 30 % increase in container handling capacity and a measurable reduction in Lagos road congestion by shifting cargo movement to barges.
Key Details of the Lease Agreement
| Aspect | Specifics |
|---|---|
| Lease term | 15 years, renewable for an additional 5 years |
| Land area | 35 hectare plot at Apapa’s northern fringe |
| Investment commitment | US$ 450 million for infrastructure, equipment, and technology upgrades |
| Operational model | Joint venture (50/50) with APM handling terminal operations and BMS managing barge logistics |
| Regulatory approval | Nigerian Ports Authority (NPA) and Lagos State government endorsement secured Q1 2025 |
Capacity Expansion at Apapa Port
- new berths and quay length
- Three additional deep‑water berths (up to 18 m draft)
- Extra 1,200 m of quay wall, enabling simultaneous handling of 5 × 40‑ft containers per crane
- Equipment upgrades
- Installation of five Super post‑Panda gantry cranes (40 % faster cycle time)
- Automated gate system with RFID and AI‑driven container verification
- Barge terminal integration
- Two dedicated barge docks with 10 × 40‑ft barge berths
- Shore‑side electrification to power hybrid tug‑barges, reducing emissions by 25 %
- Projected throughput
- From 9 million TEU (2024) to ≈ 12 million TEU by 2029
- Peak hourly handling capacity rises from 2,400 to 3,100 TEU
Impact on Lagos Traffic Congestion
- Modal shift: Estimated 40 % of cargo that previously relied on trucks will move via barges, cutting truck trips on the Lagos‑Ibadan Expressway by ≈ 12,000 trips per month.
- Reduced dwell time: Average truck dwell at the port drops from 8 hours to 4 hours, freeing up road space for commuter traffic.
- Environmental benefits: lower diesel consumption translates to a reduction of ≈ 18,000 tonnes of CO₂ annually.
Operational Benefits for APM Terminals
- Enhanced service reliability – Redundant handling lanes lower the risk of bottlenecks during peak seasons.
- Data‑driven decision making – Integrated Terminal Operating System (TOS) links with BMS’s barge tracking platform, delivering real‑time visibility across the supply chain.
- Revenue diversification – New revenue streams from barge docking fees, equipment leasing, and value‑added logistics services.
Advantages for Barging Marine Solutions
- expanded market reach – Direct access to a major container terminal opens opportunities with importers, exporters, and FMCG distributors.
- Fleet optimization – Ability to schedule barge movements based on terminal loading plans, improving vessel utilisation from 68 % to over 85 %.
- Strategic positioning – BMS becomes the primary inland waterway gateway for the Lagos Metropolitan Area, positioning the company as a key player in West Africa’s logistics network.
Economic Implications for Nigeria
- Job creation – Approximately 2,300 direct jobs (construction, operations, maintenance) and 5,000 indirect jobs in ancillary services.
- Trade facilitation – Faster cargo clearance and lower logistics costs are projected to boost Nigeria’s export competitiveness by 4-5 % over the next five years.
- Fiscal impact – increased port activity can raise customs revenue by an estimated US$ 120 million annually.
Practical Tips for Stakeholders
- Importers & Exporters
- Register for the new barge‑centric cargo booking portal to lock in lower freight rates.
- Align inventory management with the terminal’s off‑peak loading windows (10 am-2 pm) for faster clearance.
- Trucking Companies
- Transition 30 % of the fleet to “last‑mile” services connecting the barge terminal to inland distribution hubs.
- Adopt fuel‑efficiency modules to meet the Lagos State emissions standards introduced in 2025.
- Local Authorities
- Monitor traffic flow using the Lagos Traffic Management System (LTMS) to quantify congestion reductions.
- provide incentives for businesses that ship via barges, such as reduced tolls on the Lekki‑Ikoyi Bridge.
Case Study: phase 1 results (Q3 2025)
- Throughput: 1.2 million TEU handled within the first six months, exceeding the 10 % target.
- Barge utilisation: 78 % average load factor, a 15 % increase over pre‑lease levels.
- Traffic data: Lagos Metropolitan Area traffic sensor network recorded a 6 % dip in heavy‑truck volume on the Apapa‑Lagos corridor.
- stakeholder feedback: Major importers reported a 22 % reduction in container dwell time, translating to lower inventory carrying costs.
Future Outlook: Scaling the model
- Expansion plans – Feasibility studies underway for a second barge terminal at the Lekki Deep Sea Port, leveraging lessons learned from Apapa.
- Technology integration – Pilot of blockchain‑based cargo documentation expected to launch Q1 2026, further streamlining customs clearance.
- Regional collaboration – Discussions with the Ghana Ports and Harbours Authority to create a West African barge corridor, enhancing intra‑regional trade.
