The Minister of Steel Development, Prince Shuaibu Audu has revealed that the Federal Government is in the process of wrapping up an agreement with a Chinese company that will see the establishment of a new steel plant in Ajaokuta, Kogi State and see the production of military hardware within the complex.
The Chinese company, Luan Steel Holding Group, would construct a new steel plant in Nigeria.
Audu made this announcement during the delegation’s visit to the Luan Steel Holding Group in Hefei and Guangzhou regions of China. The delegation, led by Audu, included Minister of Defence, Alhaji Mohammed Badaru CON and the permanent secretary of the Ministry of Steel Development, Dr. Mary A Ogbe.
Audu emphasised that the trip to China signified a crucial step in realising the objectives of revitalising the Nigerian steel industry, in alignment with President Bola Ahmed Tinubu ‘Renewed Hope’ agenda.
The minister highlighted that the initiative aims to establish an operational steel industry capable of attracting substantial foreign direct investments, fostering economic growth and generating hundreds of thousands of job opportunities – a cornerstone of the ‘Renewed Hope’ agenda.
Notably, Audu stressed the timeliness of producing military hardware at the Ajaokuta Steel Plant, considering Nigeria’s current security challenges. He expressed confidence that this move would significantly contribute to the nation’s efforts in addressing insecurity and terrorism.
During the visit, Audu engaged in meaningful discussions with the chairman of Luan Steel Holding Group, Mr. Wang Jianbing and the CEO, Mr. Xiao Weizhan, along with other senior executives. The discussions revealed Luan Steel Holding Group’s keen interest in establishing a new steel plant in Nigeria and participating in the production of military hardware at the Ajaokuta Steel Plant.
Audu, accompanied by Badaru and other key officials, inspected the Luan Steel plants to gather firsthand insights before finalising decisions. The minister expressed optimism, stating, “With all the commitments on the ground, we are confident that before the end of President Tinubu’s administration, we will commence commercial steel production in some of the government-owned entities in Nigeria.” This collaboration reflects a strategic move towards achieving sustainable economic development and strengthening Nigeria’s position in the global steel industry.
