The new $1.5 billion steel plant facility in Kaduna state of Nigeria expects to produce 1 million metric tonnes of steel per year. The steel produced from the facility will be sufficient to meet 100% local steel demand in the country. The announcement was made by Mrs Zainab Shamsuna Ahmed, Minister of Finance, Budget and National Planning, during her visit of the facility.
According to the Minister, the flagship steelmaking facility, built by African Resources and Mines Limited, a subsidiary of African Industries Group (AIG), is nearing completion. It is scheduled to commence the first phase of production in a matter of few months. This involves mining of iron ore and production of direct reduced iron (DRI).
The facility is considered to be tactical to the looming steel revolution in the country. It will eliminate steel imports, create employment opportunities for Nigerians and provide big boost to the country’s economy, she added.
The new steel plant is expected to attract world’s leading automobile manufacturers to set up car manufacturing plants in the country, as the plant will focus on producing specialized steel used by several industries, especially the auto industry.
The proposed plant is expected to lift Nigeria as the region’s steel hub. It must be noted that Nigerian steel industry has been lifeless for several years now.
Source : Scrap Monster
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