The Honourable Minister of Steel Development, Prince Shuaibu Abubakar Audu has said that Nigeria will begin production of steel from government-owned steel companies in the coming months, adopting a more strategic and new approach in line with the ‘renewed hope agenda’ of President Bola Ahmed Tinubu GCFR.
Prince Audu made this known on Friday in Abuja when he held an interactive session with members of the Steel Press Corp to brief them on the mandates and expectations of the novel Ministry created by President Bola Ahmed Tinubu GCRF to industrialise Nigeria under the ‘renewed hope agenda’.
The Honourable Minister said that with the support and approval of Mr. President, he and his team of experts are adopting a more strategic and collegiate approach to reviving the moribund Ajaokuta steel plants, as well as other steel plants in the country.
Prince Audu called for the support of the media as the fourth estate of the realm towards the actualization of the vision of Mr. President, describing them as critical stakeholders in the sector.
Prince Audu said that with all hands on deck, engagements with local and foreign investors, and relevant government and private institutions coming to actualization, Nigeria will commence steel production in the coming months, secure a $10 billion investment in the economy through the steel industry, and create 500,000 direct and indirect jobs.
“The mandate that the president has given us is to try and do some homework and revive the industry. It is a difficult task, and there are certain things that we plan to do over the next months and years to achieve these objectives.
“Number one is that we want to create a 10-year roadmap to revive the steel and non-ferrous metals industry in Nigeria. In addition to that, we would also put together a 3-year roadmap for the revival of the Ajaokuta steel complex. Part of what that will involve is concessioning the Ajaokuta Steel plant to people who have the core competence to get the job done.
“Ajaokuta has about 44 production units within the 24,000 hectares. Perhaps different aspects can be handled by different people with relevant core competencies.
“Part of what Mr. President has said about the revival of Ajaokuta under the 3-year roadmap is to use a collegiate approach. Two things we are looking to do under the collegiate approach to achieve short-term success are the revival of the Light Steel Mill for the production of iron rods and the production military hardwares at the engineering workshop in Ajaokuta.
“I have been in conversations with the Honourable Minister of Works, Sen. David Umahi who has given me a letter that there would be off-takers of any iron rods produced from the Light Steel Mill of the Ajaokuta Steel Plant.
“I have engaged with the Minister of State for Defence, Governor Bello Matawalle, who we are looking to partner with in terms of the Ajaokuta Steel Complex together with DICON so that military hardwares can be produced. I have also engaged with His Excellency Mohammed Badaru, I have engaged with the hierarchy of the Ministry of Defence for that project. Part of the plans is to revive the engineering workshop to get it going to help us produce military hardware.
“It is a lot of work, and it is something that Mr. President has given us his full support, and the Federal Government is determined to do those things.
“We have also engaged with foreign investors to come and set up new steel plants. The Minister of Defence and myself were in China, in the Guangzhou and Hefei regions of China, from the 1st of January to the 2nd week of January this year, to discuss with the senior executives of the Luan Steel Group where they want to come and set up a new steel plant in Nigeria.
“Something similar again for Indian Company, Jindal Steel. Jindal Steel has committed at the sidelines of the G20 Summit in New Delhi, India, in a meeting with Mr. President that they plan to invest $5 billion in setting up a steel plant in Nigeria.
“If you look at some of the things we are looking to do: the revival of the Ajaokuta Steel plants, as well as other steel plants in the country, together with the new Luan and Jindal Steel plants, we expect that we should be able to bring an excess of $10 billion U.S. dollars into the economy and create an excess of 500,000 direct and indirect jobs for Nigerians,” Prince Audu said.
The Permanent Secretary of the Ministry, Dr. Mary Ogbe said that the President, in his wisdom, created the Ministry, knowing the importance of steel to national development, to make Nigeria enter into a committee of developed nations globally.
Lizzy Okoji
SA Media to the Honourable Minister of Steel Development.
February 3, 2024
