Fayemi affirms FG’s ownership of Ajaokuta Steel

Kayode Fayemi, Nigeria’s Minister of Mines and Steel Development has affirmed federal government’s position on ownership of Ajaokuta Steel Complex.

Fayemi was reacting to a recent media report, where S.0 Nwanbuokei, a director of Global Steel Holdings Limited(GHSL) who quoted was as saying that protracted litigation surrounding the ownership of the Ajaokuta Steel Complex had not been resolved.

“It must be stated clearly that concessioning of an asset does not make one lose the ownership of the asset. In the case of Ajaokuta Steel Complex, the Federal Government remained the actual owner of the asset, while the concesioning arrangement was in place. This situation has not changed after the entire concessioning  arrangement crumbled.‎

“The Federal Government does not need any mediation to determine its ownership of Ajaokuta Steel Complex as the integrated steel complex has always been the property of FGN,”‎ said Fayemi in a statement issued on Wednesday.

‎He also pointed out in the statement that, the position of government is that having ceded the National Iron Ore Mining Company (NIOMCO), Itakpe to GSHL, for the remaining concession period, as part of the agreement reached during the mediation, government would at the appropriate time take a decision on how best to put Ajaokuta Steel Complex to profitable use. This include engaging a new core investor with proven financial and technical capacity to turn around, complete and run the steel complex profitably.