FG Sets 3yr Plan To Resuscitate Ajaokuta Steel Company

By Georgina Humphrey

The Federal Government has set a three year plan to resuscitate the Ajaokuta Steel Company.

Minister of Steel Development, Shuaibu Audu, made this known during a facility tour of Ajaokuta Steel Company, in Kogi state.

He said creation of the Steel ministry by president Bola Tinubu is to show the world the importance of the steel sector to the development of the nation stressing that he would do his best to ensure that the steel plant is revitalized.

“More than 40 years we have this steel plant in Nigeria and one of the largest in West Africa, which has not functioned but the President knows that in order to industrialize Nigeria we need to get the steel industry working and we need to get the steel plant which is the largest in the land to work as well” Audu said.

“And if you look back into history, the United Kingdom, UK, had their own industrial revolution in the 1900s so the President’s vision is for Nigeria to start an industrial revolution with his renewed hope agenda which is a massive and tough task that is why he has sent us here” the steel minister stressed.

“So we have to begin the process of putting measures in place to get the plant to work within the shortest possible time, there are two things we are going to put together which are a three year roadmap for the revival of the Ajaokuta Steel Company and a five year roadmap for the revival of the steel industry in Nigeria” he added.

Audu explained that many foreign investors have shown interest in terms of partnership but first of all there is need for technical audit to be able to determine which of the production units can be resuscitated within the shortest possible time.

“There are 48 production units in Ajaokuta and some can be rehabilitated within the shortest possible time. The foreign investors have shown interest in bringing Foreign Direct Investment for unlocking capital for us to be able to carry out this task” Audu noted.

“The foreign investors are broad based and some have shown interest and are coming from Russia, USA, China, Arab Countries, and different investors will be given different components of the plant to be able to make it work, and I think part of the strategic roadmap that we are putting in place also involves making Ajaokuta Steel plant and Ajaokuta Park where we can make it a free trade zone that would attract investors.

The Sole Administrator, Ajaokuta Steel Company Limited, Sumaila Abdul- Akaba, said there is hope for the steel project and efforts are beign made to ensure harmonious relationship with workers and create cordial relationship with the host community for smooth running of the company.

According to Akaba, $1.5 billion is needed for the project.

“On funding required, we have an approximate value, we want to do the evaluation. Previously we are looking at $1 billion to $1.5 billion but we want to reevaluate as the Minister has said. There is going to be re-evaluation, auditing and more people are coming to ensure we get the best of all these”.

Edited By Grace Namiji