The Singapore Business Federation is planning to build a $15m rail container terminal in Ondo State in Nigeria.

The project involves building a rail line from the Apapa terminal to link to the existing rail line running to Ondo State.

Pacific International Lines and Singapore and Hull Blyth, UK have together signed an MOU for the project and have received approval from the Nigerian Railways Corporation.

The bonded terminal, named Stellar bonded terminal, will have a 7,000 container capacity, which is expected to greatly help decongest the Apapa port.

Work is expected to begin in eight months.