President Bola Tinubu convened a significant meeting on Thursday at the State House in Abuja, where he engaged in discussions with the Minister of Steel Development, Prince Shuaibu Abubakar Audu, and the Minister of Defence, Alhaji Mohammed Badaru.
According to Special Adviser to the President on Media and Publicity Chief Ajuri Ngelale, the focus of the meeting centered on providing the President with a comprehensive briefing on potential investments totaling $10 billion in Nigeria’s steel sector.
President Tinubu underscored the pivotal role of a revitalized steel development industry as a catalyst for robust economic growth, presenting vast opportunities for Nigeria’s talented entrepreneurs. Expressing his commitment to building a nation where every citizen has an equal opportunity to prosper, the President emphasized that new investments in steel production would not only spur sectoral growth but also contribute significantly to industrialization.
“We will remain unyielding in our determination to build a Nigeria where every citizen has an equal opportunity to prosper and achieve their dreams. New investments in steel production will spur the growth of so many sectors. Industrialization will be a reality in our country with sufficient energy and steel. Nigerian steel will undergird our economy and other economies in our region in future years. I am glad that members of my cabinet have adopted my approach to attracting new investments and job opportunities for our people. Hard work is the only true pathway. We will not relent,” stated President Tinubu.
The Ministers briefed the President on their discussions with Luan Steel Holding Group, a prominent Chinese company, regarding plans to establish a new steel plant in Nigeria and commence the production of military hardware at Ajaokuta Steel Plant. A delegation led by the Minister of Defence and the Minister of Steel Development visited Hefei and Guangzhou regions of China for business talks with key executives of Luan Steel Holding Group, including Chairman Mr Wang Jianbing and CEO Mr Xiao Weizhan.
Luan Steel Holding Group is poised to inject billions of dollars into Nigeria for the construction of the new steel plant. The Minister of Steel Development also updated President Tinubu on the progress of restarting the Light Steel Mill (LSM) section of Ajaokuta Steel Complex for iron rod production, a project estimated to cost N35 billion at the first stage, with potential to create up to 5,000 direct and indirect jobs.
Furthermore, discussions with representatives of Jindal Steel Group of India were highlighted, as the group has expressed interest in investing up to $5 billion in a new steel plant in Nigeria. This commitment, initially conveyed during the G20 meeting in New Delhi, India, in September 2023, may involve acquiring existing plants or establishing new greenfield plants.
Upon completion of these deals, an estimated $10 billion worth of new investments in both new and existing steel plants in Nigeria is expected. This substantial investment is anticipated to create over 500,000 direct and indirect jobs in the steel industry, aligning with President Tinubu’s Renewed Hope Agenda for massive job creation through industrialization.
