Ministry, BPE To Revive Moribund Steel Rolling Mills
The Ministry of Mines and Steel Development on Monday said it was
partnering with the Bureau for Public Enterprises (BPE) to revive the
Delta Steel Company and other steel rolling mills.
The Director, Steel and Non-Ferrous Metals Department in the ministry, Mr.
Also Abdullahi, made this known in a chat with the News Agency of Nigeria
(NAN) in Abuja.
Abdullahi said it was necessary to revamp the companies, including the
steel rolling mills in Jos and Osogbo, to boost steel production and
He said the ministry and BPE were discussing with owners of the mills to
address issues delaying commencement of operations nine years after they
acquired the companies.
He disclosed that the Federal Government sold 80 per cent of its equity in
Delta steel to Global Infrastructure Nigeria Limited, which initially
pledged to bring in foreign investments.
According to him, Global Infrastructure, an Indian company, instead, took
a loan of over N30 billion from some Nigerian banks which it is unable to
The director said the banks had since “sold the loans to Assets Management
Company of Nigeria (AMCON) and that enabled AMCON to take over Delta steel
He said the ministry, BPE and AMCON had been discussing with new investors
who had indicated interest to acquire the company.
On Jos Steel Rolling Mill, now Zuma Steel, Abdullahi said it was bought by
a consortium of Nigerian and Ukrainian companies, but had been bogged down
by disagreements and litigation.