NIGERIA, SOUTH AFRICA SIGN PACT ON MINING DEVELOPMENT In a bid to solidify the partnership fostered through the Nigeria–South Africa Bi-National Commission—recently inaugurated by President Bola Ahmed Tinubu and President Cyril Ramaphosa—the Ministers of Solid Minerals of both nations have signed a Memorandum of Understanding (MoU) outlining key areas of cooperation, complete with implementation timelines. During a bilateral meeting at his office in Abuja, the Minister of Solid Minerals Development, Dr. Dele Alake hosted South Africa’s Minister of Mineral Resources and Energy, H.E. Gwede Mantashe. Dr. Alake described the engagement as a milestone in deepening bilateral relations, especially in the vital mining sector. Reflecting on the historical ties between the two countries, Alake noted the longstanding diplomatic and economic cooperation built on mutual respect and a shared vision for Africa’s development. He stressed that collaboration in the mining sector offers vast opportunities for industrialization, job creation, and sustainable growth across the continent. “The Memorandum of Understanding in geology, mining, and mineral processing signed today,” Alake stated, “will serve as a cornerstone for facilitating knowledge and technology transfer, investment promotion, capacity building, regional integration, and value addition.” Key Highlights of the MoU Include: Alake emphasized Nigeria’s renewed focus on developing its mining industry, stating that South Africa could benefit from Nigeria’s vast mineral wealth, while Nigeria could tap into South Africa’s advanced mining expertise. This synergy, he said, would open doors to investment, skills development, and economic diversification. In his remarks, H.E. Gwede Mantashe affirmed that South Africa—where mining plays a central role in the economy—stands to gain from Nigeria’s revitalized interest in the sector. He added that his visit aimed to fine-tune agreements from the Bi-National Commission and to deepen collaboration on mutually beneficial projects with Nigeria’s Ministry of Solid Minerals Development. Both ministers committed to sustained engagement and collaboration to boost intra-African trade and deliver on the actionable steps outlined in the MoU. They expressed confidence that this renewed partnership would significantly enhance the mining sectors of both countries. The MoU signing was attended by the Minister of Steel Development, Shuaibu Audu; Permanent Secretary of the Ministry of Solid Minerals Development, Dr. Mary Ogbe; Permanent Secretary of the Ministry of Steel Development, Dr. Chris Isokpunwu; alongside senior officials from both solid minerals and steel development ministries and members of the South African delegation led by H.E. Gwede Mantashe.
Vision
“To have a virile sustainable and inclusive steel industry that can compete globally and be driving for industrial and economic growth of our country while maintaining internationally acceptable standard”
Mission
“To ensure industry and Government strengthen the capability and competitiveness of Nigeria steel industry to achieve self sufficiency in steel production by providing policy support and guardian and to help mitigate potential challenges and barriers that are preventing the growth of Nigeria steel industry”
MINING WEEK “Policy for Accelerating Nigeria’s Iron and Steel Industry Development”
Representative of the Honourable Minister of Steel Development, Dr. Chris Osa Isokpunwu, Permanent Secretary of the Ministry, on the panel discussing the topic, “Policy for Accelerating Nigeria’s Iron and Steel Industry Development” on Wednesday 20th November 2024 at the Nigeria Mining Week.
The Permanent Secretary stated that the Policy thrust of the Federal Government is geared towards ensuring it provides an enabling environment; revamping the moribund Steel Companies in the country; collaborate with the private sector for the development of the Steel Sector, among others.
BI-LATERAL RELATION: INDIAN BUSINESS INVESTORS VISIT MINISTRY ON STEEL SECTOR DEPARTMENT
The Minister of Steel Development, Prince Shuaibu Abubakar Audu, noting the huge potentials in the Steel Sector, disclosed that the country is happy to explore various aspects of investment and is keen to work with the Indian community, this happened when the Indian Business Investors paid a visit to the Ministry’s Headquarters on Monday 18th November 2024 to find ways to deepen bi-lateral relations with the country on the development of the steel sector.
On her part, Rekha Sharma, leader of the delegation proposed setting up working groups to look into areas of investments as well as organizing a Nigerian-Indian Road Show in India to showcase the vast opportunities in the Nigerian Steel Sector to India investors.
GOODWILL ADDRESS BY HONOURABLE MINISTER OF STEEL DEVELOPMENT, PRINCE SHUAIBU ABUBAKAR AUDU, AT THE 9TH EDITION OF THE NIGERIA MINING WEEK (NMW) HOLDING AT THE ABUJA CONTINENTAL HOTEL, ABUJA.
Protocols
The Honourable Minister of Solid Minerals Development, Dr. Dele Alake, My brother and Host of the 2024 Nigeria Mining Week Your Excellencies, the State Governors here present Other Ministers of the Federal Republic here present;
The Chairmen and Members of the National Assembly Committees on Solid Minerals and Steel here present;
The National President, Miners Association of Nigeria, Mr. Dele Ayanleke and the entire leadership of the Association for Organizing the 2024 Nigeria Mining Week;
The Event Director – Mining, Vuka Group, Mr. Samukelo Madlabane and the entire Team of the Vuka Group, Representatives of PricewaterhouseCoopers (PwC) Members of the Advisory Board of the 2024 Nigeria Mining Week
The Permanent Secretary, Ministry of Solid Minerals Development, Dr. Mary Ogbe;
The Heads of Government Parastatals and Agencies here present;
Stakeholders here present from Africa and beyond;
Gentlemen and Ladies of the Press;
Ladies and Gentlemen!
PREAMBLE
I am highly honoured to make this ministerial address at the 9th Annual Nigeria Mining Week 2024 with the theme ‘Building the Mining Sector to be the Cornerstone of Nigeria’s economy. The annual mining week event has evolved over time to be a major platform where different stakeholders in the minerals sector are assembled for robust engagements on the best strategies to advance the course of harnessing our natural resources endowments for economic development. I must not fail to appreciate my big brother and colleague, Minister of Solid Minerals Development, Dr. Dele Alake for the collaborative partnership between us because of the obvious nexus between the Solid Minerals and the Iron and Steel sectors.
Distinguished Ladies and Gentlemen, it is important to highlight that the focus of the 2024 Annual Mining Week equally resonates with the priorities of our visionary leader, President Bola Ahmed Tinubu, GCFR especially as he targets;
Reforming the economy to deliver sustained inclusive growth Unlocking Energy and Natural resources for sustainable development and Accelerate diversification through industrialization, digitization, creative arts, manufacturing and innovation. I have carefully perused the thematic topics that will be deliberated on at this event and the presenters that will lead the discussions especially as it relates to the “Policy Choices for Accelerating Nigeria’s Iron and Steel Industry Development”. I am confident that the Presenters/Discussants will do justice to the topics and deliver very constructive conversations and shared-insights that will elicit progressive engagements aligning with the ideals of the 8-Point Agenda of President Tinubu’s Administration which targets reinvigoration of the steel industry to serve as a catalyst for Nigeria’s industrialization. .
ONGOING ACTIVITIES AND MILESTONES UNDER THE PRESENT ADMINISTRATION
Following the discouraging history of Steel Development in Nigeria in the past four and a half decades, the President Bola Ahmed Tinubu’s administration has shown tremendous willingness to address the protracted challenges facing the industry. This noble decision of Mr. President is hinged on the following key objectives to be driven by the new Ministry of Steel Development;
To lead the campaign for the utilization of the abundant Steel Raw Materials in Nigeria for the substitution of imported Steel products which has been draining our foreign exchange to the tune of over $4Billion USD annually;
To evolve a regulatory regime that would ensure sustainable Steel and other Metals production in Nigeria for both local and international markets;
To set and monitor quality standards for local and foreign Steel products to curb structural failures in different construction projects in Nigeria and Generate employment and promote technology transfer for Nigeria’s economic development. We have taken this mandate since assumption of office on 21st August, 2023 with every sense of responsibility and the following milestones/activities were recorded;
Ajaokuta Steel Company Limited (ASCL)
The Federal Government has decided to privatise the fore-most integrated Steel Plant at Ajaokuta and its captive Iron Ore Mine at Itakpe and we have kick-started the process to ensure the accomplishment of the above. We recently signed a Memorandum of Understanding (MoU) with the original builders of the Plant, Messrs. TPE and their partners in Moscow, Russia. The procurement process for the selection of the technical audit firm has been completed and the auditing of the entire plant will commence before end of the year.
Engineering Workshops at ASCL
We are working to also sign a Memorandum of Understanding with Ministry of Defence and Defence Industry Corporation of Nigeria (DICON) for the production of major input materials for the manufacturing of military hardware using the Five (5) Engineering Workshops in ASCL.
Aluminum Smelter Company of Nigeria (AlSCON)
A high-level executive meeting with Mr. President was held in July, 2024 and we were given a matching order to ensure that all issues encumbering the commencement of operation be resolved. Relevant stakeholders are currently working to address critical issues of sustainable & competitive gas pricing regime, power generation and evacuation into the national grid, ownership tussle and dredging of Imo River.
Prospective New Investments into the Sector
We have also followed up on;
The landmark investment resolution reached between Mr. President and the President of Jindal Steel Group in India on the sidelines of the G-20 Meeting in New Delhi in 2023. Messrs. Jindal Steel Group has pledged to invest about $5 billion USD for the setting up of another 5 million tons steel plant in Nigeria and we are already providing the enabling environment through different organs of Government. This singular investment alone will require over 20 million tons of different steel raw materials to feed the Plant.
The Inner Galaxy Group’s is investing about USD 300 million in a new Steel Plant in Ogun State to produce Galvanized Steel Profiles for the Automotive Industry.
The Bell Oil and Gas USD 100 Million investment in Pipe Value Assembly and Composite Pipe manufacturing Facility in Lekki Free Trade Zone, Lagos and a host of others.
THE BOOT-CAMP TRAINING PROGRAMME
We are currently evaluating applications from over 225,000 online applications as at close of portal for the Pilot Boot Camp Training Programme for Nigerian youths for Technical Capacity Building in Welding/Fabrication, Industrial Foundry & Metallurgy, Instrumentation, System Control and Mechanical Maintenance. The idea is to train and develop the technical capacities of 700 selected Trainees and support them with equipment to become self-reliant and prepare a new set middle level manpower for the emerging Steel Industry in Nigeria. We are also liaising with tertiary and secondary education authorities in Nigeria to evolve sustainable mechanisms that will elicit interest of the youths in Material Sciences for sustainable manpower supply of the Metals Industry.
OTHER STRATEGIC INITIATIVES
Other Strategic initiatives we have embarked upon to re-position the Metals Industry include:
National Steel Summit
I have taken time to inspect a number of local Steel company operators in Nigeria to appreciate their issues and put the necessary fiscal incentives to support their investment. Some of the issues raised include dumping of sub-standard imported products, Energy supply, High cost of Scraps as input materials, forex for importation of equipment and logistics challenges. We shall be organizing a Summit of all stakeholders within the first quarter of 2025 to agree on a wholistic measures to promote our local operators.
Regulatory Frameworks
We collaborated with the National Assembly Committees on Steel Development for quick passage of the following bills:
National Metallurgical Training Institute, Onitsha Establishment Bill;
Metallurgical Industry Bill;
and amendment of National Steel Council Act.
Roadmap for the Steel Industry
As the Regulator cum Administrator of the Metals Industry in Nigeria, we have developed an in-house Ten (10) year sectoral Roadmap for the sustainable growth of the sector with a target production of 10 million Tons of Crude Steel and other metallic products per annum. The document will be ready for presentation to stakeholders at the next summit for their inputs and review where necessary and final adoption by stakeholders. The final Roadmap Document would provide guidance to all industry players and prospective investors on the policy direction of the Federal Government of Nigeria.
CONCLUSION
I want to conclude by drawing our attention to the importance of adopting synergic approach to accomplishing the objectives of the Government Policy on Value-Addition to our solid mineral endowments. Complimentary to the sterling efforts and investments of the Federal Government in Geo-Science Data Generation, we must commensurately drive Value-Addition to our mineral resources to achieve the desired quick wins from Mines to Market.
The Ministry of Steel Development is driving strong initiatives of Value Proposition for accelerated Metallic Minerals Development and therefore urge all industry stakeholders to support Government to convert our abundant mineral resources in Nigeria to semi-finished and finished steel products which will generate massive employment for our teeming youths, significantly improve the economic well-being of our people and meaningfully contribute to Nation’s GDP.
I wish you all a successful deliberation at this 9th Edition of the Nigeria Mining Week.
God bless the Federal Republic of Nigeria.
BOOT-CAMP TRAINING PROGRAMME FOR NIGERIAN YOUTHS
The Ministry of Steel Development invites applications from existing and aspiring artisans for a one-month intensive boot-camp training programme.
OBJECTIVE: Empower Nigerian youths with advanced technical skills in:
1. Welding & Fabrication
2. Industrial Foundry & Metallurgy
3. Instrumentation Control & Mechanical Maintenance
BENEFITS:
- Expert training and mentorship
- Equipment support for business growth
- Job creation and sustainable livelihoods
ELIGIBILITY: Nigerian Youths (ages 18-40) interested in the metals industry
DURATION: One month
APPLICATION DETAILS: To apply, interested applicants should follow the link below
BOOT-CAMP TRAINING PROGRAMME FOR NIGERIAN YOUTHS
DEADLINE: 30th October, 2024
JOINT TOWN HALL MEETING ORGANISED BY THE MINISTRY OF STEEL DEVELOPMENT AND MINISTRY OF SOLID MINERALS DEVELOPMENT AT THE HEADQUARTERS, ABUJA.
Dr. Chris Osa Isokpunwu and the Permanent Secretary of the Ministry of Solid Minerals Development in a chat during the town hall meeting.
NIGERIA-SOUTH AFRICA BI-NATIONAL COMMISSION MEETING OF THE TECHNICAL WORKING GROUP ON GEOLOGY, MINING, MINERAL PROCESSING AND METALLURGY
Right; The Honourable Minister of Steel Development, Prince Shuaibu Abubakar Audu, The Honourable Minister of Mineral Resources & Energy of the Republic of South Africa, Gwede Mantashe MP, Honourable Minister of Solid Minerals Development, Dr. Oladele Alake during the Nigeria-South Africa Bi-National Commission Meeting of the Technical Working Group on Geology, Mining, Mineral Processing and Metallurgy