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Skepticism swirls as Nigeria holds talks with Russian consortium on Ajaokuta Steel revival
Minister of Steel Development, Prince Shuaibu Abubakar Audu, is reported to have engaged a consortium led by the original developers of Ajaokuta Steel Company Limited (ASCL), Tyamzhpromexport (TPE), to revive the steel plant.
The Minister met with the consortium on Thursday in Abuja. The consortium is made up of teams from Russia’s TPE/Rostec, Novostal, and Nigeria’s Proforce.
Prince Audu said following the meeting, he intends to visit Moscow on a formal invitation from TPE and other consortium partners to engage in further discussions to secure funding to the tune of at least $2 billion, which is required for the revival of the entire steel plant.
Mr. Sergei Egorov, General Director of TPE and leader of the Consortium commended the Minister for the steps he has taken so far in putting together the Consortium for the resuscitation of the steel plant, which has been moribund for years.
Egorov and his team of technical experts, who had earlier gone on a tour of the steel complex a few days earlier, noted that the plant was still in a state of possible resuscitation, indicating their interest in putting together a business case for the government.
However, cynicism has trailed the development sincd the news broke on Friday, with many dismissing the project as another cycle of waste.
An X account user, @ogbucyril, said “This Ajaokuta Steel has turned to one of the biggest scoops. Since 1999. Our leaders no get shame.”
Another, @DrVic_Exotic, said, “Another conduit. Money wey don enter Ajaokuta fit build another country wey dey like Dubai,” while @shehu_mahdi retorted, “With all the pending court cases, the debt buy-back scandal, end of life technology, hugely stolen components, debt burden, borrowers syndrome etc someone is deceiving Nigerians that he can bring Ajaokuta steel back to life. It is a story similar to “Emirates Air to start operating next week” …that never came to pass”
