FG Commences Technical, Financial Audits of Ajaokute Steel Plant In Ajaokuta

The Federal government on Wednesday confirmed that it has kick-started Tinubu technical and financial audit of the Ajaokuta plant had commenced to determine its current state before engaging a core investor.
President Bola Tinubu made this disclosure on Wednesday, 13 August, 2025 at the inaugural National Steel Stakeholders’ Summit On The Development Of The Steel Sector in Abuja, themed “Rebuilding and Consolidating Nigeria’s Steel Industry: Collaborative Action for Sustainable Growth and Global Competitiveness”.
“Some of the key milestones shaping the industry include: Ajaokuta Steel Company Limited and National Iron Ore Mining Company
“Operationalisation of Ajaokuta Steel Plant. Although we signed a Memorandum of Understanding in September 2024, with the original builders of the Ajaokuta Steel Plant, Messrs. Tyazhpromexport of Russia, we are currently exploring strategic partnership opportunities in China because of the lingering Russia-Ukraine war. Mr. President will soon make the final decision and determine the best deal following a comprehensive review of their financial, managerial and technical competencies.
Tinubu, who was represented at the occasion, by Vice President Kashim Shettima, said, “I want all stakeholders to note that the completion and commissioning of Ajaokuta Steel Plant and National Iron Ore Mining Company, Itakpe is a priority of Mr. President.”
Shettima announced that a technical and financial audit of Ajaokuta, approved by the Bureau of Public Procurement, was underway to guide investor selection.
“We are in the process of undertaking a Federal Government-Sponsored Technical & Financial Audit of Ajaokuta Steel Plant to establish the current state of affairs. It is based on the outcome of the audit that the final agreement with the selected core investor for the reactivation, completion, and operation of the plant will be executed. Bureau of Public Procurement approval has been received, the contract awarded, and the technical audit process has started in earnest.
“The charge for the resuscitation of the Steel sector legacy assets is not limited to Ajaokuta Steel Company Limited. The Federal Government is also pursuing the resuscitation of the assets, whether privatised or government-owned, to ensure that they contribute to national development as envisaged from inception. We have recently obtained the commitment of the Management of Delta Steel Company, Aladja, now Premium Steel & Mines Limited, on the commencement of rehabilitation and operation of the Plant within the next 18 months, subject to the availability of the necessary raw materials.
“In September 2024, we signed an MoU with TPE and its consortium to rehabilitate and operate the Ajaokuta National Iron Ore Mining Company in Itakpe,” he said. “We have also received proposals from China and other partners. Our decision will be guided by the audit’s findings.”