President Bola Tinubu met with the Minister of Steel Development, Prince Shuaibu Abubakar Audu, and the Minister of Defence, Alhaji Mohammed Badaru, at the State House in Abuja on Thursday. During their meeting, the President was briefed on investment prospects in the steel sector.
Gatekeepers News reports that a statement by his Special Adviser on Media and Publicity, Ajuri Ngelale, revealed that President Tinubu emphasized the importance of revitalizing the steel development industry as it is a catalyst for economic growth and an opportunity for Nigeria’s talented entrepreneurs.
The President also stated his commitment to building a Nigeria where every citizen has an equal opportunity to prosper and achieve their dreams. He expressed his belief that new investments in steel production will spur the growth of many sectors and that Nigerian steel will undergird our economy and other economies in our region in future years.
The Ministers informed the President of their discussions with Luan Steel Holding Group, a Chinese company, to build a new steel plant in Nigeria and to commence the production of military hardware in Ajaokuta Steel Plant. A delegation led by the Minister of Defence and the Minister of Steel Development had visited Hefei and Guangzhou regions of China to hold business talks with the Chairman of Luan Steel Holding Group, Mr Wang Jianbing, the Chief Executive Officer of the Company, Mr Xiao Weizhan, and other senior executives of the Luan Steel Holding Group.
The Chinese company is expected to invest billions of dollars in Nigeria to build the new steel plant. The Minister of Steel Development also briefed the President on the progress made in restarting the Light Steel Mill section of Ajaokuta Steel Complex for the production of iron rods, which will cost N35 billion at the first stage. He said several financial institutions had already provided offer letters for this transaction, and the project is expected to create up to 5,000 direct and indirect jobs for Nigerians.
The Minister also informed the President of discussions with the representatives of Jindal Steel Group of India. Jindal Steel Group had indicated interest in investing up to $5 billion in a new steel plant in Nigeria and is now considering to either acquire existing plants or set up greenfield plants. Upon the completion of these deals, about $10 billion worth of new investments in both new and existing steel plants in Nigeria will be established, which will create over 500,000 direct and indirect jobs in the steel industry in line with President Tinubu’s Renewed Hope Agenda for massive job creation through industrialization.
