By Anthony Nwachukwu
The federal government has announced a $400 million Strategic Cooperation Agreement with Stellar Steel Company Limited to build an integrated steel plant in Ewekoro, Ogun State.
Signed by the Minister of Steel Development, Shuaibu Audu, the move, which was announced on the presidency’s X on Wednesday, aims to revive Nigeria’s long-dormant steel sector.
The initiative is part of a broader government strategy to curb steel imports, conserve foreign exchange, and drive industrial diversification towards achieving a $1 trillion economy by 2030.
The federal government projected that on completion, the Ewekoro facility will produce up to 10 million tonnes of crude steel annually, thereby positioning Nigeria as a leading West African regional hub for steel manufacturing.
It is also expected to save Nigeria over $1 billion yearly in foreign exchange by reducing reliance on imported steel, as well as other substantial economic benefits that include over 2,000 jobs and 20,000 indirect jobs.
A subsidiary of China’s Inner Galaxy Group, Stellar Steel has also committed to partnering Nigerian universities and technical institutions in facilitating skills development and technology transfer by training local engineers and technicians.
On its part, the ministry will provide policy guidance and infrastructural support to ensure the project’s success. The plant will incorporate clean and green production technologies, reflecting the current administration’s focus on sustainable and inclusive economic growth.
