The minister of steel development, Prince Shuaibu Abubakar Audu, has commended an iron ore mining and processing firm, African Natural Resources and Mines Limited (ANRML), for its over $600m investment in Nigeria’s mining and steel sector, saying it shows the company’s confidence in the country.
Prince Audu made this comment following a joint inspection tour of the ANRML’s mining and processing plant at Gugeni Village, Kagarko Local Government Area of Kaduna State, with the Indian High Commissioner to Nigeria, HE Shri G. Balasubramanian,
In his address following the tour of the 900-hectare complex, Prince Audu commended the company and its owners for their faith in Nigeria, noting their substantial investment and contribution to the country’s economic development. He expressed amazement at the facilities at the $600 million iron ore mining and processing complex and applauded ANRML for providing about 4,000 direct and indirect jobs and aligning with the Nigerian government’s backward integration policy.
The minister said, “I am pleasantly surprised that you have been doing business in Nigeria since 1971. I appreciate the Group for believing in Nigeria and creating thousands of jobs, employing over 10,000 staff across the country.
“The facility you have here, including the mine, is amazing; it’s a massive one on a 900-hectare piece of real estate. And it’s very clear that it dovetails into President Ahmed Tinubu’s Renewed Hope Agenda, whose goal is to grow the economy to over $1 trillion by 2030.”
“What we’re seeing here puts us on the right track. Some important things I’ve noted include that the AIG Group has invested close to $600 million in this plant, and the primary production activity, which is the mining of iron ore—the raw material for steel production—takes place here.
“And as the GMD of AIG mentioned, steel is the catalyst for industrialisation in any nation throughout history, so it’s a very important component. AIG is playing a crucial role in advancing Nigeria to the next level.”
He urged the company to help Nigeria meet its local demand from within and export any excess, expressing delight at learning that the steel firm was already exporting its products to Senegal and Morocco.
“And I want to urge the company to invest more to help us meet our local demand. About 10 million metric tonnes worth $4 billion, from what I understand, are still being imported into this country, and I think this company has a very significant role to play in reversing that trend to enable us to meet local demand and export the excess,” he said.
The minister reinforced the federal government’s commitment to reviving the Ajaokuta Steel Plant.
On his part, the high commissioner said that Indian-owned companies are the second highest employers of labour after the federal government.
He expressed pleasure at seeing Indian-origin companies positively impacting Nigeria, noting that their number had increased from 150 to 200 since his arrival in Nigeria, with about $27 billion invested in the country.
This growth, he said, reflects their confidence in Nigeria’s great potential and the welcoming nature and hospitality of its people.
The Indian High Commissioner, who toured the complex with the Minister, praised ARNML, a subsidiary AIG), for its substantial investment in money, technology, and manpower, as well as its commitment to corporate social responsibility programmes in host communities.
He highlighted that India’s foreign policy under Prime Minister Narendra Modi considers Africa, particularly Nigeria, a centrepiece for socio-economic cooperation.
“We’re proud to have industrialists such as the Gupta family, who have contributed immensely as part of Indian companies in Nigeria,” he said.
In response, AIG Group Managing Director Alok Gupta thanked the Minister for the visit and his pledge to support indigenous steel companies like AIG Group in Nigeria.
“I’m confident that under your dynamic leadership, we will see a revival of the local steel sector. We stand by your commitment to revitaliing the nation’s steel to meet both local and international consumption,” he added.
Gupta disclosed that AIG Group, which began in the late 20th century and established the first plant to manufacture steel products with ferrous scraps, now operates more than 70 steel plants across Nigeria with a combined capacity of 1.2 million metric tonnes per annum.
“We manufacture a wide range of products used in the construction sector, such as iron rods, steel angles, steel pipes, square rods, steel rods, binding wire, wire mesh, and more. It’s estimated that Nigeria is blessed with over 2 billion metric tonnes of iron ore reserves,” he said.
Gupta stated that the company is the first and only one in the country to have successfully achieved backward integration in that sector of the economy.
He reaffirmed the company’s commitment to transforming Nigeria from a net importer of steel to a net exporter, contributing to a favourable balance of trade in line with President Bola Ahmed Tinubu’s Renewed Hope Agenda.
Mr. A.A.S Oloyede, ACG, Nigeria Customs Service who was representing the CG, Nigeria Customs Service, congratulated ANRML for setting new standards excellence in mining sector and assured the support of Nigerian Customs Service to AIG in its endeavours.
Mr. Narasimha Nayak, CEO, ANRML, led the dignitaries for a complete tour of the facilities at Gujeni plant. He gave them a first hand demonstration of the overall functioning of the state-of-art equipment and machinery.
