The Cross River State Government has signed a $42 million Public-Private Partnership (PPP) agreement to rehabilitate its long-neglected water infrastructure and restore reliable potable water supply across major communities in the state, in a deal that marks a potential development in the economics and delivery model of urban utilities in southern Nigeria.
The deal, signed with private operator Agua Global Services Limited, marks one of the most ambitious sub-national infrastructure revival programmes in recent years, positioning water supply not merely as a public service intervention but as a structured, long-term investment asset now drawing attention from global financiers.
The transaction, structured by Lagos-based investment banking firm Core Trust and Investment Limited, in partnership with Bridgetop Capital Partners, is already generating strong signals of investor appetite from both equity and debt markets across Africa, Europe, and North America, according to persons familiar with the financing pipeline.
Cross River State is implementing a long-term water sector reform anchored on a 25-year concession framework, as it moves away from direct public-sector maintenance of urban water systems that have suffered from sustained infrastructure decay, funding limitations, and operational inefficiencies. The reform centres on the rehabilitation and expansion of assets managed by the Cross River State Water Board Limited, the state-owned utility responsible for water treatment and distribution.
Speaking during the formal signing ceremony,Godwin Nyiam, managing director of the Water Board, described the transaction as a decisive break from years of stagnation in the sector.
“Today is historic for us because it marks the end of water scarcity. We have struggled for a long time to secure technical partners willing to take over the Water Board considering the huge liabilities involved,” Nyiam said.
The water board, which has faced persistent operational bottlenecks including obsolete treatment plants, collapsed distribution networks, and inconsistent power supply to pumping stations, is expected to undergo a full-scale technical and financial overhaul under the PPP framework.
The intervention plan includes rehabilitation of treatment plants, replacement of dilapidated pipelines, upgrade of storage reservoirs, improvement of water purification systems, and expansion of distribution coverage across urban and peri-urban corridors.
Unlike traditional government-funded infrastructure projects in Nigeria, the Cross River water PPP is structured as a blended finance arrangement designed to de-risk capital inflows while ensuring long-term operational sustainability.
Core Trust and Investment Limited, acting as transaction adviser and project structuring lead, confirmed that the $42 million capital requirement is expected to be raised through a combination of equity participation and infrastructure debt instruments.
Ayo Taire, group managing director of Core Trust, who also serves as financial adviser to the project, described the transaction as a “landmark in sub-national infrastructure financing.”
He said the firm leveraged its international advisory network, including its strategic collaboration with Bridgetop Capital Partners in Washington D.C., led by corporate attorney and founding partner Vincent Nyeko, to position the project for global investor participation.
According to him, “The initiative is structured to attract both local and international capital because it is anchored on bankable cash flow assumptions tied to utility tariffs, operational efficiency gains, and long-term concession stability.”
Financial analysts note that PPP-driven water infrastructure models have become increasingly attractive across emerging markets, particularly where governments are transitioning from subsidy-heavy service delivery models to commercially viable utility frameworks.
The selection of Agua Global Services Limited followed a multi-stage competitive procurement process overseen by the Cross River State Bureau of Public Private Partnerships.
Core Trust and Investment Limited was originally mandated by the state government to identify and prequalify suitable private sector partners capable of undertaking the Water Board’s revitalisation.
Following technical and financial screening, Agua Global Services Limited was shortlisted alongside several other firms before emerging as the preferred bidder after additional due diligence and regulatory review.
The procurement process, according to officials, was designed to ensure transparency, technical competence, and long-term operational sustainability rather than short-term financial bidding advantage.
Rosemary Onah, permanent secretary of the Ministry of Justice, said the legal framework underpinning the agreement underwent extensive scrutiny.
She noted that “the legal and technical processes leading to this agreement were rigorous and transparent,” adding that the government prioritised institutional integrity in structuring the concession arrangement.
Under the terms of the agreement, Agua Global Services Limited will lead a consortium of technical partners responsible for the full rehabilitation of Cross River’s water production and distribution systems.
Lucky Igberaese, managing director of Agua Global Services Limited, said the project was preceded by extensive technical assessments that revealed severe degradation across the water infrastructure value chain.
He noted that water quality tests conducted during feasibility studies indicated high levels of impurities in existing supply systems, underscoring the urgency of intervention.
“We have come to establish the conclusion of this milestone project. This formal signing represents the final identification and commitment of the relevant parties,” Igberaese said.
He further remarked that Cross River State previously served as a benchmark for functional public water systems in Nigeria but had suffered systemic decline over time due to underinvestment and maintenance gaps.
“With today’s formal signing and the anticipated groundbreaking, Cross River can once again become a model of people-focused governance where every resident has access to potable water,” he added.
The 25-year concession framework is expected to introduce performance-based service delivery benchmarks, including uptime of water supply systems, coverage expansion targets, and quality compliance thresholds aligned with international potable water standards.
The Cross River State Government, under the leadership of Bassey Edet Otu, has repeatedly emphasised infrastructure renewal as a central pillar of its governance agenda.
Officials say the water PPP aligns with the administration’s “people-first” development strategy, which prioritises basic services such as water, healthcare, and energy.
Godwin Nyiam noted that the project directly supports the governor’s commitment to resolving long-standing public utility challenges.
He said addressing water scarcity remains one of the administration’s top priorities, particularly given its implications for public health, productivity, and urban development.
From a macroeconomic perspective, the $42 million investment is expected to generate multiplier effects across construction, engineering services, logistics, and utility management sectors.
The project is also expected to stimulate job creation during both the construction and operational phases, with demand for engineers, technicians, plant operators, and water quality specialists projected to rise significantly.
Adolphus Aletor, managing director of Core Trust and Investment Limited, said the company’s role in structuring the deal reflects confidence in the state’s reform trajectory.
He noted that Agua Global Services Limited was selected based on its technical capacity and operational track record, assuring stakeholders that performance benchmarks would be strictly enforced.
One of the most significant developments arising from the transaction is the early-stage interest it has generated among institutional investors.
Sources familiar with the financing discussions say that infrastructure funds, development finance institutions, and private equity players are already evaluating participation options in the project’s capital stack.
This level of interest reflects growing global appetite for African sub-national infrastructure assets that are structured with clear governance frameworks and predictable revenue models.
The involvement of Bridgetop Capital Partners, through its Washington-based advisory network led by Vincent Nyeko, is also expected to strengthen cross-border investor confidence in the project’s execution capacity.
The Cross River $42 million water PPP is increasingly viewed as a test case for Nigeria’s infrastructure investment climate, particularly in its use of private capital to fund public utilities. Market observers say successful execution could reshape sub-national infrastructure delivery models, shifting risk and funding away from constrained public budgets toward commercially structured, performance-based partnerships. While investor sentiment remains cautiously optimistic, stakeholders note that long-term value will depend on operational delivery rather than the initial transaction milestone.
