Critical Challenges and Dwindling Hopes: The Future of Ajaokuta Steel

Magaji Inuwa, the former CEO of Ajaokuta Steel Company, has raised urgent concerns about the Nigerian government’s ability to revitalize the once-promising Ajaokuta Steel Project. In a candid interview, the veteran metallurgist highlighted key issues that continue to obstruct the project’s progress, ranging from financial limitations to a lack of government commitment and missing infrastructure.

Inuwa emphasized that the Ajaokuta Steel complex’s operational revival would require nothing short of a “miracle.” According to him, the financial requirements for completing the project are far beyond what the Nigerian government can fund. He believes that while private investment is essential for its success, there is little hope that investors will be willing to shoulder such a heavy financial burden.

The former CEO pointed out that one of the project’s critical shortcomings is the underutilized infrastructure that is supposed to support its operations. He highlighted the railway bridge over the Niger River, which was completed early on in the project but remains disconnected from the larger transportation network due to the absence of a connecting rail line. He also noted that the absence of a standard gauge railway linking Ajaokuta to key locations like Onne Port in Port Harcourt has severely hampered the movement of materials.

Inuwa also underscored that the Ajaokuta Steel complex’s vast size and complex design make it unfeasible to divide the project into smaller, manageable components. “Ajaokuta is too big; it is not a question of separating it,” he said, adding that even the 65 miles of railway tracks within the complex, designed to move materials within the plant, remain largely underused.

While acknowledging the possibility of private investment, Inuwa expressed doubt that anyone would be willing to invest the massive sums needed to bring the project to life. “There needs to be a lot of private money; the government cannot fund it. They don’t have the commitment,” he asserted.

Despite his skepticism, Inuwa ended the interview on a note of cautious optimism: “There will always be a miracle coming from somewhere.” However, he remains deeply concerned that without dramatic change and external support, Ajaokuta Steel may never fulfill its potential.