Why Ajaokuta Steel Company Will Never Work — Dangote

The President of Dangote Petroleum Refinery, Alhaji Aliko Dangote has declared that the long-stalled Ajaokuta Steel Complex may never come alive, arguing that global technological advancements have overtaken the project.

Dangote, who spoke on Tuesday during an interview with journalists, stressed that while no country can prosper without a viable steel industry, Ajaokuta’s future remains bleak.

“The steel we are talking about, we will definitely look at the opportunities of doing that. There is no nation that you can build without a steel industry. And honestly, between us here, Ajaokuta will not work. We can keep deceiving ourselves. We can keep being passionate about this. It’s not possible,” the billionaire industrialist said.

The Ajaokuta Integrated Steel Complex, conceived in 1979, was designed to house a Metallurgical Process Plant, an Engineering Complex and various auxiliary facilities.

More than 45 years later, however, the multi-billion-dollar project has failed to take off, hampered by corruption, mismanagement, and shifting political priorities.

In January 2024, President Bola Tinubu approved the restart of the plant’s light steel section following discussions with India’s Jindal Steel Group.

The Indian firm had pledged a $5billion investment in a new steel project in Nigeria during the September 2023 G20 summit in New Delhi.

Dangote however cautioned that Africa must guard against becoming a dumping ground for outdated industrial projects and cheap imports that undermine local capacity.