FG Reaffirms Commitment to Reviving Ajaokuta Steel Mill
Nigeria’s Minister of Steel Development, Shuaibu Audu, has reaffirmed the commitment of the current administration under President Bola Tinubu to revitalizing the dormant Ajaokuta Steel Mill.
Audu, speaking during an official visit to Plateau State Governor Caleb Mutfwang in Jos, underscored the neglect suffered by the steel mill situated in Ajaokuta Local Government Area of Kogi.
He stated that the project, conceived 45 years ago to catalyze development in Nigeria, has regrettably been disregarded by successive administrations.
“The Ajaokuta steel mill has existed for over four and half decades without receiving the desired attention by successive administrations. But this administration, under the Renewed Hope mantra of President Tinubu, has demonstrated the political will to revive the steel plant to promote development in the nation.
“He has asked us to do all that is necessary to ensure the steel mill is back to life and part of what we are doing is to use a collegiate approach. He has asked us to do all that is necessary to ensure the steel mill is back to life and part of what we are doing is to use a collegiate approach.
”He has asked us to look for a concession partner that can take over the technical management of the mill. We are looking for one that has the expertise in terms of steel production, so that the facility can start to produce once again,” he said.
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Audu, however, acknowledged that reviving the entire plant would require a substantial investment. Nonetheless, the government has made arrangements to revitalize it incrementally, recognizing the enormity of the task at hand.
“Based on technical analysis, it will cost us between two to five billion dollars to revive the Ajaokuta steel mill, hence we are using a piecemeal approach. So, we are going to, first, revive the light steel unit that can produce iron rods; we are at the final stage of signing a N35 billion funding from a local financial institution to commence work,” he said.
The minister mentioned that his visit to Jos included an assessment of facilities at the National Metallurgical Development Centre (NMDC), highlighting its pivotal role as a key partner in driving the steel production process within the country.
In response, Mutfwang expressed gratitude to the minister for the timely visit and commended President Tinubu for his unwavering commitment to revitalizing struggling sectors. Emphasizing the significance of steel to the nation’s development, he underscored the potential immense benefits that reviving the Ajaokuta steel mill could bring to the country.
Mutfwang noted that the president’s dedication to completing abandoned projects resonated with the vision of his administration, which prioritizes the completion of critical projects in Plateau State.
NAN/Chidimma Gold
