-The federal government has said that the Ajaokuta steel company would soon begin production
-The minister of state for solid minerals lament increased spending on the steel plant
-Says over seven companies are currently competing for the completion of the plant
The federal government has reiterated its commitment towards reviving the Ajaokuta Steel Company Limited adding that over seven firms are currently competing for the completion of the plant.
The Leadership reports that the minister of state for solid minerals, Abubakar Bwari noted that the present government was being careful to avoid past mistakes made in a bid to refurbish and revive the steel complex.
He, however stated that government was being careful not to repeat the same mistake of sinking money into a project that did not yield revenue commensurate to the investment.
He said: “More than 7 companies from China, India, and Ukraine, among others, had expressed interest to complete the steel plant. Even Nigerians have come out to say that they have partners and investors interested in completing the project.”
“We are being very careful not to make any mistakes and waiting till we are able to vet all proposals before a technical team. Also, we would involve the government of these countries to certify the companies before sitting down to discuss with the firms. This time around we want to be very careful but are willing to associate and discuss with those interested in completing the steel complex.”
He lamented that so much had been spent for the revival of plant in the past with nothing commensurate coming out of it.
He said: “The federal government will also give conditions and only those companies that are able to meet the conditions will be considered for further discussions. The federal government spends N4 billion annually to maintain the steel plants and its workers, but we cannot continue with that.”
“It is our intention is to see that at least half of the Ajaokuta steel company will begin to work. When it does, it can generate power,” he added.
Meanwhile, a former director in the federal ministry of mines and steel development, Abdullahi Also, had assured Nigerians that Ajaokuta and Delta steel companies would commence production in 2015.
Source: Naij
