By Victoria Onehi
The Minister of Steel Development,Prince Shuaibu Abubakar Audu, has promised to strengthen institutional frameworks, accelerate the revitalisation of critical steel assets and promote local steel production in 2026.
The Minister disclosed this in his new year message highlighting his vision for the steel sector in 2026.
The statement reads as follows:
“In realisation of the Renewed Hope Agenda of President Bola Ahmed Tinubu, the Ministry will continue to pursue policies and partnerships that foster transparency, efficiency, innovation, and sustainability. We are committed to working collaboratively with sub-national governments, the private sector, development partners, and host communities to unlock the vast potential of Nigeria’s steel resources for inclusive and sustainable development.
“A major milestone during the year was the successful hosting of the Inaugural National Steel Summit 2025, which was declared open on behalf of President Bola Ahmed Tinubu, by the Vice President of the Federal Republic of Nigeria, Sen. Kashim Shettima, which brought together stakeholders from across the nation to chart a new course for the sector’s revival.
“In furtherance of the long-standing national objective to revitalise the Ajaokuta Steel Complex, it would be recalled that in September 2024, the Ministry signed a landmark Memorandum of Understanding (MoU) with the original equipment manufacturers of the plant, marking a historic step towards its completion. However, in response to evolving global realities, including disruptions occasioned by the Russia–Ukraine conflict, Nigeria adopted a pragmatic pivot in its technical partnership; with advanced discussions now being held with prospective investors in China following my several visits there to facilitate the revival of the steel plant.
Recognising the energy-intensive nature of industrial cluster in Nigeria, the Ministry facilitated a $500 million investment by NNPCL and its partners for the establishment of five mini-LNG plants within the Ajaokuta Steel Territory. This initiative will ensure a reliable power supply, reduce production costs, promote cleaner energy use, and stimulate industrial growth with a particular focus on Northern Nigeria.
In a historic move to enhance the national security architecture and industrial self-reliance, the Ministry executed an MoU with the Federal Ministry of Defence for the local production of military hardware and the establishment of a Military Industrial Complex within the Ajaokuta Steel Territory, in collaboration with DICON.
Investor confidence in Nigeria’s steel sector reached new heights with the signing of a Joint Strategic Cooperation Agreement with the Inner Galaxy Group’s Stellar Steel Company Limited for a $400 million steel plant being built in Ewekoro, Ogun State. This, alongside the commissioning of the Orbit Galvanised Steel Plant in Ikorodu, Lagos State (with an estimated annual turnover of $100 million) reflects the growing confidence in the sector translating into more jobs and industrial capacity.
Further repositioning of national metallurgical assets is underway, with ALSCON set to invest an additional $465 million in phased investment over a six year-period providing issues around the legal impasse on the ownership structure is resolved. On the other hand, Premium Mines and Steel Limited (formerly Delta Steel) has committed to commence rehabilitation and operations within 18 months after financial close providing the Ministry helps to resolve issues around supply of raw materials for production.
In line with the Renewed Hope agenda on job creation, I facilitated and approved the employment of over 200 pioneer steel-sector experts into the National Steel Council, Abuja—an agency under the Ministry of Steel Development responsible for policy formulation, standardisation, and strategic oversight of Nigeria’s steel industry. This engagement marks a significant step toward the revitalisation of the nation’s steel sector.
Additionally, through the maiden Skill Acquisition and Empowerment Boot Camp exercise held at the Metallurgical Training Institute (MTI), Onitsha, I oversaw the training and empowerment of over 700 youths drawn from all 36 states of the federation and the FCT with hands-on technical skills in critical areas such as welding and fabrication, foundry and metallurgy, instrumentation and control systems, and metallurgical maintenance, aimed at bridging skills gaps in the metals industry.
Looking ahead to 2026, the Ministry is focused on consolidating these gains and transitioning from policy reforms to measurable production outcomes. Expectations include accelerated implementation of signed investments, tangible progress at Ajaokuta, phased production in the new steel plant, deeper local content integration, and sustainable job creation, supported by stronger budgetary alignment and private sector participation.” Audu said.
