Di federal government don announce say dem near to sign agreement with one Chinese company before end of 2026 to revive Ajaokuta Steel Company, wey don dey idle for over 40 years.
Sha’ibu Abubakar Audu, di Minister of Steel Development, yarn dis one during appearance for NTA Good Morning Nigeria programme. Im say di Tinubu administration don take serious steps to bring di steel complex back to life.
According to di minister, dem don reach advanced stage for discussion with one Chinese investor. Im say, “For Ajaokuta Steel Company, as you know, e dey since 1979. E neva produce any sheet of liquid steel since e start. So wetin we do for dis administration over di last three years na to take many measures.”
Audu explain say di first tins dem do na to engage serious partners to revive and bring funding for di resuscitation of Ajaokuta. Im add say, “We dey very advanced discussion with some Chinese companies, one Chinese company in particular, and we confident say before end of dis year we fit sign agreement for im revival.”
To prepare di steel complex for full restoration, di minister say government don start several strategic interventions. Im reveal say di procurement for comprehensive technical audit don complete and assessment of di plant dey already ongoing to determine facilities wey need rehabilitation and upgrades.
Audu also reveal say di Ministry of Steel Development, for partnership with Nigerian National Petroleum Company Limited, don start di development of five mini-LNG plants inside Ajaokuta Steel complex. According to am, di project go attract about $500 million for foreign direct investment and boost industrial gas supply for northern Nigeria.
For addition, di minister say di ministry and Ajaokuta Steel don sign Memorandum of Understanding with Defence Industries Corporation of Nigeria and Ministry of Defence to manufacture military hardware like rifles, ballistic vests, and helmets for di engineering workshop inside di steel complex.
Im further disclose say Ajaokuta Steel recently sign 20-year Gas Sale and Purchase Agreement with NNPC to ensure reliable long-term gas supply for future operations.
Audu maintain say di various initiatives show di Federal Government commitment to revive Nigeria steel industry and turn Ajaokuta into catalyst for industrialisation, job creation, and economic growth.
Despite remaining dormant for more than four decades, Ajaokuta Steel don continue to receive annual budgetary allocations from Federal Government, with personnel costs accounting for di largest share of expenditure while dem dey try attract private investment.
