FG signs MoU with Russia on Ajaokuta steel coy, National iron mining coy

Abuja, Sept. 20, 2024 -The Federal Government has signed a Memorandum of Understanding (MoU) with Russia on completion and operation of Ajaokuta Steel Plant and National Iron Ore Mining Company.

The MoU was specifically signed with Messrs Tyazhpromexport, the builders of the two plants.

A statement by Salamotu Jibaniya, the Spokesperson for the Ministry of Steel Development. announced this on Friday.

It said Shuaibu Audu, the Minister of Steel Development, who signed the agreement on behalf of the federal government, led a government delegation to Moscow from Sept. 14 to Sept. 21, 2024.

Audu described the deal as a bold step to create a sustainable base for the industrialisation of the country’s economy.

“The revival of the steel sector will also reduce importation of steel products into Nigeria, which is estimated at over $4 billion annually and will help save scarce foreign exchange,” he said.

Chris Isokpunwu, the Permanent Secretary in the ministry, said the federal government was committed to revamping the Ajaokuta steel plant and NIOMCO.

The Russian consortium pledged to meet the expectations of the MoU with the Nigerian government.

“The President of Metallurgical Holding, “Novostal – M” Demchenko Ivan Ivanovich assured the delegation of their readiness to submit a detailed proposal for the project after the comprehensive audit of the plant,” it said in a statement.   (GBN)