Ajaokuta Steel : FG tackles Dangote

The Federal Government has reaffirmed its resolve to revive the Ajaokuta Steel Company Limited (ASCL), brushing aside recent skepticism voiced by the Chairman of Dangote Group, Aliko Dangote.

In a statement issued Thursday in Abuja by Salamatu Jibaniya, Head of Press and Public Relations at the Ministry of Steel Development, Minister Prince Shuaibu Abubaker emphasized that the project remains on course.

Dangote, speaking at a recent event, underscored the importance of steel to national growth but expressed doubts that Ajaokuta could succeed given “changes in technology.” He argued that global competition demands peak efficiency, which he questioned the plant’s ability to achieve.

The minister, however, stressed that while the concerns had been noted, government’s commitment was unwavering.“A comprehensive technical and financial audit of the plant is presently underway to ensure that any decision taken is transparent, data-driven and in the best interest of Nigeria,” Abubaker said.

He added that a 2018 audit described the plant’s general condition as “robust,” though it recommended replacing worn-out components and automating manual systems to boost efficiency.

According to him, the ongoing review would “provide a sound basis for decisive action that advances Nigeria’s industrial aspirations,” while ensuring that the steel sector is modern, competitive and able to support national infrastructure development.

Meanwhile, ASCL’s Managing Director, Prof. Nasir Abdulsalam, disclosed at the Second International Railway Conference and Exhibition that the company’s foundry and engineering unit had commenced operations.

In the same forum, the Nigerian Railway Corporation (NRC) announced plans to partner with Ajaokuta for the production of rail materials and related components.