The Federal Government and Global Steel have signed an agreement for the resuscitation of the Nigeria Iron Ore Mining Company (NIRONCO), Itakpe.The signing of the agreement, which took place at the State House, Abuja on Monday, is aimed at revamping the Ajaokuta Steel Company in Kogi state.

Dr Kayode Fayemi, the Minister of Solid Minerals signed on behalf of the Federal Government while Mr Pramod Mittal, Chairman of Global Steel, signed on behalf of the company.

Vice President Yemi Osinbajo, who presided over the event, urged the parties to stick to the terms of the agreement in order to achieve the objective of revamping the Itakpe and Ajaokuta companies within the agreed time.

Fayemi said that in executing the agreement other areas such as the rail transportation and ports issues would be addressed by the Ministry of Transportation. He said that the Iron Ore Company was the core supplier of raw materials for major steel companies in the country and that government had spent $3.3 billion to import steel products since.

He said there was enough iron ore deposit to sustain the local needs, especially the Ajaokuta and Delta steel company, Aladja, and thanked the Vice President for presiding over the execution agreement.“It is our expectation that at the end of the review that is going to follow this execution we would have brought the Nigeria Iron Mining company back into full functioning.“And also start the process of retaking the Ajaokuta plant and then putting it out to interested bidders who are already showing keen interest in its resuscitation,’’ he said.

He said the process would move the country from being a minerals nation to a mining nation and enable the country to process and add value to the mineral resources before exportation.

source: Vanguard