The Minister of Steel Development, Shuaibu Audu, has revealed that the Federal Government plans to commence the production of military hardware at the long-moribund Ajaokuta Steel Mill, according to reports on Vanguard....CONTINUE READING THE FULL ARTICLE>>>
Speaking on Channels Television’s Politics Today on Monday, the minister outlined the government’s intention to revitalize the steel complex to produce iron rods and military equipment.
Audu emphasized the collaborative efforts between the Ministries of Defence, Works, and Steel Development to rejuvenate Ajaokuta Steel Mill.
He stated, “Whether it is helmets, bullets, vests, pads for tanks, rifles, or ammunitions, we will have the capacity to do that.”
Highlighting the commitment to restart the light steel mill of the complex, Audu estimated the cost of revamping the entire Ajaokuta Steel Mill to be between two to five billion dollars.
The light steel mill section alone is anticipated to cost around N35 billion. President Bola Tinubu has reportedly given approval to source funds locally for the revival of this section.
The proposed N35 billion investment aims to enable the steel plant to produce 50,000 tons of iron rods initially, with the capacity to scale up to 400,000 tons.
Audu acknowledged that lack of political will has been a significant hurdle for the Ajaokuta Steel Mill over the past 40 years, and he emphasized the importance of the recently established Ministry of Steel in driving the country’s industrial revolution.
The minister disclosed the termination of the last concession agreement with Global Steel, stating that the Nigerian government paid about $496 million for ending the contract with the Indian company.
Audu attributed previous challenges to inadequate skills among concessionaires and cited the absence of political will as a critical factor hindering the Ajaokuta Steel Mill’s functioning…CONTINUE READING>>
