04 July 2012, Sweetcrude, ABUJA — UKRAINIAN government has indicated interest in taking over Nigeria’s moribund Ajaokuta Steel factory under the West African country’s privatisation programme.
The development came as the Nigerian government said it was doing everything possible to tackle all critical issues impeding the successful privatisation of the nation’s steel industry.
Ukranian Ambassador to Nigeria, Serhii Khanenko, submitted the request of his country when he led a delegation of investors from his country on a courtesy visit to the Ministry of Mines and Steel Development in Abuja.
The Ukrainian firm, Reprom Company Limited, which is to handle the project said it presently has a total of $2.65
billion to execute the project with the production capacity of 3.9 metric tons per anum.
The ambassador said Ukraine was interested in exploring areas of partnership with the Nigerian government in the
development of its solid mineral resources as well as reactivation of Ajaokuta Steel Company Limited.
Ambassador Khanenko said the Ukrainian investors were ready to inject over $2.6 billion into the reactivation of Ajaokuta Steel Company Limited. He expressed hope that the project would be given to the Ukrainian government.
Speaking at the occasion, Minister of Mines and Steel Development, Arc. Mohammed Sada said as part of the way forward for the sustainable growth of the steel sector of the nation’s economy, the federal government was poised to remove any bottleneck in the privatisation of the steel industries.
He described the visit as not only timely but important considering that President Goodluck Jonathan had given timelines on all outstanding issues affecting the nation’s steel industries in order to move forward.
“Government is working proactively towards ensuring that interests of various stakeholders are brought on board for the development of Nigeria’s steel industries”, he disclosed.
He emphasised that the government is determined to tackle all critical issues impeding the successful privatisation of the nation’s steel industries.