FG seals deal to revive Delta Steel after decade-long shutdown

The Federal Government has recently signed an agreement to revive the dormant Delta Steel Company, a significant project that has been inactive for a decade. The revival plan, which includes investments of over $1.3 billion, aims to return the plant to commercial production within 18 to 24 months. This initiative is projected to create approximately 25,000 direct and indirect jobs.

The agreement, signed between the National Iron Ore Mining Company, Itakpe, and Premium Steel and Mines Limited, addresses a crucial requirement for restarting the plant: sustainable access to iron ore. If successful, this project could be a new attempt to revive one of Nigeria's most ambitious industrial ventures, which was established in 1982 with an annual production capacity of one million metric tonnes of liquid steel.

Despite initial operational challenges, the plant's capacity has since dwindled to around 25% of its designed output. The Federal Ministry of Steel Development, led by Salamatu Jibaniya, highlighted the importance of this revival in the government's efforts to repurpose Nigeria's legacy steel industry assets, emphasizing their role in industrialization, economic diversification, job creation, and sustainable national development.

The revival plan also aligns with President Bola Tinubu's Renewed Hope Agenda and the government's strategy to boost local manufacturing, create employment, and unlock idle productive assets.