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Nigeria Seeks Global Investors to Replace Aging Satellite, NIGCOMSAT-1R

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Nigeria Seeks Global Investors to Replace Aging Satellite, NIGCOMSAT-1R

As Nigeria’s NIGCOMSAT-1R satellite approaches the end of its 15-year operational life in 2026, the Nigerian Communications Satellite Limited (NIGCOMSAT) has initiated a global call for investors to help develop and launch its successors, NIGCOMSAT-2 and NIGCOMSAT-3.

Launched in December 2011, NIGCOMSAT-1R has been pivotal in meeting Nigeria’s satellite communication needs for over a decade. However, with its operational period set to conclude in two years, NIGCOMSAT is taking proactive measures to ensure an uninterrupted continuation of satellite services.

NIGCOMSAT-1R has been crucial in providing communications, internet services, health support, agricultural assistance, environmental protection, and national security. To sustain and enhance these services, the introduction of NIGCOMSAT-2 and NIGCOMSAT-3 is planned, aiming to attract global investment and participation.

Former Minister of Communications, Barrister Adebayo Shittu, had previously advocated for acquiring two new satellites as backups, proposing a $550 million loan from China-Exim Bank. However, this plan faced resistance from stakeholders questioning the profitability and utilisation of the existing satellite.

In 2021, then Managing Director of NIGCOMSAT, Dr. Abimbola Alale, reiterated the need for new satellites at a stakeholder forum. Despite announcing plans to launch NIGCOMSAT-2 in 2023 and NIGCOMSAT-3 in 2025, these efforts did not materialise.

NIGCOMSAT-1R itself was a replacement for NIGCOMSAT-1, which failed after its launch in May 2007. The Nigerian government, through a contract with China Great Wall Industry Corporation (CGWIC), secured the launch of NIGCOMSAT-1R on December 19, 2011. This replacement was financed by the insurance payout from the failed NIGCOMSAT-1, aimed at saving Nigeria billions in foreign exchange by offering domestic satellite services. However, underutilisation has been a continuous issue, with many Nigerian businesses opting for foreign satellite services.

Current Managing Director of NIGCOMSAT, Jane Nkechi Egerton-Idehen, highlighted the importance of this project for Nigeria’s technological infrastructure. The successful launch of NIGCOMSAT-2 and NIGCOMSAT-3 would significantly enhance satellite communications and connectivity within the region and beyond, positioning Nigeria as a major player in the global satellite market.

This initiative aims to overcome past challenges and ensure the continuity and expansion of Nigeria’s satellite services, providing a solid foundation for future technological advancements and economic growth.

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