FEDERAL POLYTECHNIC BAUCHI

SCHOOL OF ENVIRONMENTAL TECHNOLOGY

DEPARTMENT OF ESTATE MANAGEMENT AD VALUATION

REAL ESTATE APPRAISAL 1

EST 415

FEASIBILITY REPORT
ON
BULABIRSHI WATER TABLE LOCATED AT NO.5 DASS ROAD OPPOSITE
FEDERAL POLYTECHNIC BAUCHI STAFF SECONDARY SCHOOL BIRSHIN
FULANI, BAUCHI LGA, BAUCHI STATE, NIGERIA.

BY

GROUP B

NAME REG. NO.

MUTRIBET LEKIK SOLOMON 21/142713
ABUBAKAR SADIYA UMAR 22/144917
ABDULL LAWAN 22/145238
JOSHUA ADOLE JOSIAH 22/145238
MOHAMMED IDRIS ABUBAKAR 22/145674
IDRIS LABARAN ALIYU 21/143253
DAUDA MOHAMMAD 21/142813
BOT DAVID KANANG 21/143315

FEBRUARY, 2024

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FEASIBILITY REPORT ON BULABIRSHI WATER TABLE LOCATED AT NO.5 DASS
ROAD OPPOSITE FEDERAL POLYTECHNIC BAUCHI STAFF SECONDARY
SCHOOL BIRSHIN FULANI, BAUCHI LGA, BAUCHI STATE, NIGERIA.

Introduction

Bulabirshi Water Table is a pure water factory located at No.5 Dass Road, opposite Federal

Polytechnic Bauchi Staff Secondary School Birshin Fulani, Bauchi, Bauchi State, Nigeria. The

factory is registered with NAFDAC under Registration Number E1-7003L. It serves as a key

supplier of clean and safe drinking water to various areas including Gwallameji, Birshin Gandu,

Birshin Fulani, Yelwa, Rafin Zurfi, Bayara, and Maraba. The factory’s strategic location near

prominent landmarks such as the King’s Palace, Mosques, Transformer, WAEC Office, Vito

Hotel, and Government Day Secondary School Birshin Fulani enhances its visibility and

accessibility to the local community.

Location and Facilities

The factory’s strategic location near prominent landmarks such as the King’s Palace, Mosques,

Transformer, WAEC Office, Vito Hotel, and Government Day Secondary School Birshin Fulani

Bauchi state. The factory’s location in close proximity to significant landmarks not only provides

easy identification but also contributes to its credibility and reliability. The presence of essential

facilities such as a transformer ensures uninterrupted power supply for production operations.

Additionally, the nearby educational institutions and commercial establishments offer a steady

consumer base for the factory’s products.

Product Quality and Compliance

With its NAFDAC registration, Bulabirshi Water Table Pure Water Factory adheres to

regulatory standards set by the National Agency for Food and Drug Administration and Control.

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This certification assures consumers of the quality and safety of the water supplied by the

factory. Regular quality control measures are likely in place to maintain compliance with health

and safety regulations.

Market Reach and Distribution

The factory’s extensive distribution network covers several key areas within Bauchi State,

ensuring that a wide population has access to its products. By supplying water to locations like

Gwallameji, Birshin Gandu, Yelwa, Rafin Zurfi, Bayara, and Maraba, the factory caters to

diverse communities with varying water needs.

Operational Efficiency and Sustainability

Efficient production processes are crucial for sustaining operations in the long term. Factors such

as water source sustainability, energy efficiency in manufacturing processes, waste management

practices, and workforce training contribute to the overall operational efficiency of the factory.

Continuous improvement in these areas can enhance sustainability and profitability.

EQUIPMENTS:

In the treatment and production of pure water, some equipments are needed for these processes
and they are as follows:

a. Automated Packaging Machine

This is an automated machine designed to package and seal the water containing LDPE and it
comes in different make and design as well as prices.

Notably among the machines are “KOYO” and “DINGLI” packaging machines.

b. Treatment Plant

This comprises primarily the activated carbon filter, industrial sand filter, dosing machine and

micro-filters. This is the most vital aspect of the process as it is where the water coming from the
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raw water tank is purified before sending it to the pre-treated tank. This is equally where all the

necessary chemicals needed for water purification are added.

c. Borehole

The regulatory body (NAFDAC) approves two major sources of water which are borehole and

public water source, but the borehole is more preferable and advised due to its reliability and

availability, Bulabirshi have only borehole as their source of raw water. The recommended dept

of the borehole is about 150ft (30m) and should be at least 30m away from a septic tank.

d. U.V Sterilizers

These are primarily to sterilize and purify the water for safe consumption. For water treatment,

two are required; U.V water sterilizer which is the final treatment for the water before being

packaged by the automated machine. The second is a U.V light needed at the packaging material

store to sterilize the materials before its usage.

e. Pumping Machine

Two pumping machines are needed in a water factory. The first being in- between the raw water

tank and the treatment plant to enable pump water from the raw water tank into the pre-treated

tank through the treatment plant. The recommended type is 1ph (i.e one power horse) capacity

and the second before the production room.

f. Micro-Filters

These are filters capable of filtering off particles and sometimes microbes, depending on the size

of the filter. This could be domestic or industrial filters, but for high efficiency and quality,

industrial filters are preferable.

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Five (5) filters of different sizes are required; two at the treatment plant (5microns and 1micron),

while three are needed at the production room just before the U.V sterilizer (5microns, 1micron

and 0.5micron) in a descending order. Bulabirshi is a baby factory with just three industrial

filters attached to each pump.

g. Water Tank

Bulabirshi have three water tanks which are: raw water tank semi-treated water tank and treated

water tank the tanks are 3000liters each.

h. Vehicle

A van is needed for transportation. The available capital determines the one to buy as this varies
in capacity and prices as well.

MATERIALS:

a. Packaging Materials

These are polythene materials needed for sachet water packaging.

Majorly, two kinds are essential; sterilized LDPE material with all the necessary information

printed on it and it is used for packaging the water in sachets.

The second is a transparent polythene bag used for packing the sachet (20 sachets per bag) as
applicable here.

b. Plumbing materials

These are materials needed for plumbing works in a water factory. These are PVC pipes, gums
and other plumbing materials essential for water treatment plant.

c. Registration.

Bulabirshi table water is registered with the CAC, the product registration (Trade Mark) with the

Fed Min of Commerce and Industry for a product name and finally it is registered with

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NAFDAC which is the regulatory body responsible for such and these involves some

documentation as specified by the Agency.

d. STAFFING

Bulabirshi table water is registered with NAFDAC, and have at least five (5) staffs, namely; the

production manager, a machine operator, a bagger, a loader and a two drivers. The emphasis is

only on the production manager, the others could be any body as the case may be.

FINACIAL BREAKDOWN (ESTIMATE)

S/N ITEMS COST (N)

1 Land/Factory building (onwer 7,000,000.00

occupied)

2 Automated packaging machine 1,200,000.00

3 2 Vehicle 3,000,000.00

4 Borehole/water tanks 1,000,000.00

5 Treatment plant chemicals 500,000.00

6 U.V sterilizers 120,000.00

7 Pumping machines 300,000.00

8 Registrations 250,000.00

9 Micro-filters 150,000.00

10 Plumbing works/installation 170,000.00

11 Packaging Materials 300,000.00

12 Staffing 200,000.00

13 Miscellaneous 500,000.00

14 Dossing machine 250,000.00

Total 14,940,000.00

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COST OF PRODUCTION AND EXPECTED INCOME (PROFIT)

1. Cost of packaging materials

a. Sterilized LDPE: This comes in Kg and a Kg costs N2,000. A kg produces at least 20 bags.
Therefore, a bag costs N100.

b. Transparent Polythene bags: This material comes in pack and each pack contains six bundles
and each bundle contains nine hundred pieces. A pack costs N32,400. Therefore, each piece
costs N6

2. Cost of labour (Subjective)

a. Production manager-------------------N9.00 per bag

b. Bagger ------------------------------------N7.50k per bag

c. Machine operator ----------------------N3.50k per bag

d. Loaders -----------------------------------N6.00 per bag

e. Sales personnel/cleaner ---------------N3.00 per bag

f. Driver -------------------------------------N3.00 per bag

TOTAL COST OF LABOUR --------------N32.00 per bag

3. Cost of fuel (2 vehicles, electric bill and generator ): N17,550.00 per day.

In an average of 1000 bags per day, cost of fuel per bag will be N17.55 per bag.

TOTAL COST OF PRODUCTION: N100.00K + N32.00 + N17.55 = N189.55 per bag.

EXPECTED INCOME (PROFIT) = SELLING PRICE – COST OF PRODUCTION

= N200.00 – N189.55= N10.45 PER BAG

EXPECTED DAILY PROFIT IN AN AVERAGE SALE OF 700 BAGS PER DAY

= 700 X N10.45 = N73,150,PER DAY

= N2,194,500PER MONTH

= N26,334,000 PER YEAR.

TOTAL PROFIT-TOTAL COST

=N26,334,000-14,940,000
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Net profit=N11,394,000.

COMMENT

Bulabirshi provides more profit compare to it's expenses, therefore the investment is feasible.

Conclusion: Bulabirshi Water Table Pure Water Factory demonstrates strong potential for

continued success based on its strategic location, product quality standards, market reach, and

operational efficiency. By maintaining compliance with regulatory requirements and focusing on

sustainable practices, the factory can further solidify its position as a reliable supplier of clean

drinking water in Bauchi State.

Locational details