ABUJA — CHAIRMAN, Senate Committee on the Federal Capital Territory Committee, Senator Smart Adeyemi (PDP, Kogi West), yesterday, said President Goodluck Jonathan has recovered the dead Ajaokuta Steel Complex in Kogi State from Global Steel Holdings Limited.

The move came six years after the company had remained non-functional.

Adeyemi noted that the development and bringing back the company to full operation will provide at least 10, 000 jobs, not only for Kogi State indigenes but also, neighbouring states.

Speaking to newsmen, the lawmaker, who said the Federal Government was in the process of negotiating the return of the Iron Ore Mining Company, Itakpe, also in Kogi State, said, “The Federal Government has recovered the Ajaokuta steel complex from Global Steel and with that more than 10,000 workers would be gainfully employed.

“I think the return of this complex is worth celebrating. The government of President Jonathan is worth celebrating. They should be commended for recovering the complex. They have succeeded in recovering Ajaokuta without any attendant financial obligation whatsoever.

“This is a great achievement that deserves commendation, irrespective of political affiliation. The return of Ajaokuta will reduce unemployment and crime. By this singular achievement, it means this government has raised the hope for industrial development in Nigeria

“We got to know that Global Steel asked for $1 billion damages but the concession was illegal and unlawful. I want Nigerians to know that the Federal Government has been in arbitration with the International Chamber of Commerce since the concession was terminated in 2007. The case started in 2008.

“The two plants have not been functioning since they were privatized and I want to let you know that the meeting that resolved the issue was held in Dubai between April 29 to May 1.

“Ajaokuta is at the heart of technological development in Nigeria. If we can get the complex back, then, it means Nigeria’s march towards industrialization has started on a good path. Return of Ajaokuta means that this will change the face of Kogi Stats and hopefully, the northern region”.

“The federal government may revalidate the concession with Global Steel. I’m happy that the main plant is back to Nigeria.”

It will be recalled that the Federal Government had been locked in arbitration with Global Steel Holdings Limited and Global Infrastructure Limited at the International Chamber of Commerce, London, for the return of Ajaokuta since 2007.

The legal tussle started in 2008 when Global Steel dragged the federal government before the ICC, even as Attorney-General and Minister of Justice, Mohammed Adoke led the federal government delegation.

Ajaokuta was thereafter sold to Global Steel during the administration of former President Olusegun under the privatisation Programme of the Federal Government then and after that, allegations of downsizing and asset-stripping came up before it finally shut down operations.

But President Goodluck Jonathan was said to have intervened and the federal government regained total control of the steel company and with this, Global Steel agreed to forfeit hefty $1b initially being demanded as damages allegedly suffered by the company while running the two plants.

Source:www.vanguardngr.com/2013/05/jonathan-recovers-ajaokuta-from-global-steel-sen-adeyemi/

Its is worthy to note that a senator is praising the president. And from the report seems excited that a company has been taken back from an investor.

I just hope they have a plan to make that contraction called ajaokuta to work.

Someone need to study how those in eastern Europe were able to keep their soviet era factories functional till date.

Ajaokuta might just be a doomed project. Might just count our losses and move on. Maybe encourage private guys to build and run multiple little plants instead of the gigantic ajaokuta steel complex

Nice 1 there

If this will make Ajaokuta function, then its a great move.
I cringe at such waste each time I pass through that Ajaokuta road

Right about time, a welcome development.

This is a good move..almost all privitization carried out by Obasanjo's regime was meshed in fraud and irregularities..I can't remember if any of the companies sold then is working and adding value to the Nigerian economy now..
If the next step of the government is to privitize the company again,the process should be modelled after what was done in the power sector..

They've started renovating the area!! They've repaired the roads leading to the steel mill!! I can actually see this dream coming to pass!! GEJ has plans for Nigeria!!

Hmmmm, this is another political promise

nice move Mr president! Pls recover NITEL too, its about time we tort network providers a lesson!

Hmm! A good one dere. 2015 loading.......

fkaz: Hmmmm, this is another political promise

It is not actually a promise made, it is a promise kept. Be happy for your country for once.

More Fresh Air

ogb5: Its is worthy to note that a senator is praising the president. And from the report seems excited that a company has been taken back from an investor.

I just hope they have a plan to make that contraction called ajaokuta to work.

Someone need to study how those in eastern Europe were able to keep their soviet era factories functional till date.

Ajaokuta might just be a doomed project. Might just count our losses and move on. Maybe encourage private guys to build and run multiple little plants instead of the gigantic ajaokuta steel complex

Taken back from an investor that wasnt performing.

fkaz: Hmmmm, this is another political promise

LOL. Why do people expose their foolishness by their comments?

homesteady: They've started renovating the area!! They've repaired the roads leading to the steel mill!! I can actually see this dream coming to pass!! GEJ has plans for Nigeria!!

And the Rail line that wud serve this Steel project from the Mining Cop at Itakpe to the Steel Plants at Ajaokuta and Warri-Aladja ie the Itakpe-Ajaokuta-Agbor-Warri Rail line, the 1st Standard Modern Railway in West Africa, has also just been COMPLETED by GEJ. That Rail line was conceived since 1978, while actual constructn stated bw 1989-1991, with all previous Govts unable to complete it in more than 30 yrs. When sm of us insist that GEJ is steadily TRANSFORMING Nigeria brick by brick, we know what we are talking about.... God bless the President and his team; and may He continue to bless this Great nation, NIGERIA

awodman:

Source:www.vanguardngr.com/2013/05/jonathan-recovers-ajaokuta-from-global-steel-sen-adeyemi/

And so

I reserve my comment till Ajaokuta steel complex function to its full capacity again.

GEJ 2much... We 9ja love u

If you are now believing in Nigeria like this comment

This is really a welcome development not only to kogi state but to nigerian because it will help create employment in nigeria,kudos to mr president. GEJ is working.

If u don't believe in nigeria like this comment

It's actually true. my mum works there and things are infact changing for the better. The workers there are all excited about this. That's one place in Nigeria that enjoys so much light it's almost unbelievable. I'm so happy for Ajaokuta. if you've lived there , you wouldn't wanna live anywhere else cos there is water, light, gud roads just to name a few.

aminho: If u don't believe in nigeria like this comment

What is your profit for 1like?
Mtcheew!
I damn dislike the post!

Dem say if u no sabi fly run ,if u no sabi run walk,if u no sabi run crawl by all way just keep moving n i think dis government is trying small sha

Silent worker.....

up up GEJ

simply_me:

Taken back from an investor that wasnt performing.

why was the investor not performing, that should be the most important question.
Almost all govt companies privatized by IBB and Obasanjo regimes are dead.

All private business men want to make profit, and if they buy cheap companies and these companies goes under it shows that there are other problems which are not being addressed.

Each time I pass through ajaokuta, and the huge project abandoned by past administrations I weep for my dear country. Ajaokuta alone can employ more than half of unemployed nigerians and nobody seems to be disturbed about it. I trust GEJ, and I know his tenure will bring about the change we desperately need.
Godbless Nigeria

wasiudvd: I reserve my comment till Ajaokuta steel complex function to its full capacity again.

It's a step at a time bro, that way, we'll avoid the mistakes of the past.

Nice one from the government ...