Timeline Of Activities On Ajaokuta Steel Company Limited by Blue3k2: 4:05am On Apr 07, 2018 |
1958
Government conceptualised the steel industry. Foreign consultants advised that it was better to import steel than to construct and run a steel plant.
1970
Messrs V/O TyazhPromExport (TPE) of defunct USSR contracted to carry out detailed geological studies of Nigeria regarding occurrence of raw materials suitable for iron and steel production
1971
NSDA founded, with the responsibility for planning, construction and operation of steel plants as well as necessary geological surveys, market studies, and metallurgical research relevant to steel production.
1973
NSDA commissioned (TPE) to prepare preliminary project report (PPR) for the proposed steel plant.
1974
Preliminary Project Report (PPR) completed
1974
Decision to site an integrated steel plant in Ajaokuta in former Kwara State
1975
PPR accepted and TPE commissioned to prepare a detailed project report based on recommendations contained in the approved PPR
1977
Detailed Project Report (DPR) was completed
1977
Confirmation of viable deposits of iron ore, limestones and dolomite at Itakpe, Obajana & Osara respectively. These sites sit within the 100km radius of the Kabba – Okene – Lokoja – Katon-Karfe axis
1977
Decision to site Iron Ore Production Plant in Itakpe within the same radius to serve as a raw materials feeder Plant for ASP
July 1979
Contract for working drawings and the supply and installation Technological Equipment and Steel Structures of ASCL awarded to Messrs. TPE
September 1979
ASCL established under Section 2 of National Steel Council Decree No 60 of 1979. ASCL incorporated as Limited Liability Company same year.
Same decree dissolved NSDA and established:
– Delta Steel Company Limited (DSC)
– Katsina Steel Rolling Mill Company Limited (KSRM)
– Jos Steel Rolling Mill Company Limited (JSRM)
– Osogbo Steel Rolling Mill Company Limited (OSRM)
– National Steel Raw Materials Exploration Agency, Kaduna
– National Metallurgical Development Centre, Jos (NMDC)
– National Iron-Ore Mining Company, Itakpe (NIOMCO)
1980
Wimpey, UK awarded contract to build a Metallurgical Training Complex; Boskalis, Netherlands was contracted to build a river port while Indian forms, Pan African Consultancy Services Ltd. (PACs) & Metallurgical Engineering Consultants (MECON) were awarded Project management consultancy contracts
Other civil engineering works were awarded to Fougerolle Nigeria Limited/Fougerolle SA (raw material plants, coke oven, blast furnance thermal power plant); Bilfinger and Berger/Julius Berger Nigeria Limited (steelmaking shop and rolling mills), and Dumez Nigeria Limited/Dumez Afrique (auxiliary shops, lime and refractory plants)
1983
Inauguration of Light Section Mill (LSM) and Wire Rolling Mill (WRM) of ASP
1984
Light Section Mill (LSM) and Wire Rolling Mill (WRM) ran for a short period and were shut down due to lack of operating capital.
1993
Messrs Engineering Consultants (Nig.) Limited (ECON) appointed consultants to the project to encourage indigenous participation in project management
1996
TPE contract was terminated under Supplement 34 due to lack of funding.
1997
Voest-Alpine Industries Services (VAIS) was assigned the task of elaborate evaluation of the state of the construction of the plant
2000
TPE conducts Technical Audit of ASP.
June 2003
FGN, under the privatization policy of the former President Olusegun Obasanjo administration, granted Messrs Solgas Energy of USA a 10-year Concession for rehabilitation, completion, management and operation of ASP
August 2004
Cancellation of Concession Agreement with Messrs Solgas Energy of USA due to non–performance
August 2004
FGN grants Messrs. GINL a 10-year concession (with option to extend for another 10 years) for the rehabilitation, completion, management and operation of ASP. GINL consequently took over ASP
February 2005
FGN granted GINL a 10-year concession (with option to extend for another 10 years) for rehabilitation, completion, management and operation of NIOMCO. GINL consequently took over NIOMCO, Itapke
February 2005
GINL purchased 80% of DSC shares from FGN through a Share Sale and Purchase Agreement. GINL moved into occupation and took management control of DSC
October 2006
FGN granted GINL a 20-year concession in respect of the Central Rail line from Itakpe to Ajaokuta to Aladja
May 2007
FGN entered into a Share Sale and Purchase Agreement (the Ajaokuta SPA) with GINL giving 60% of the issued share capital of ASCL to GINL.
NOTE:Effectively, GINL gained ownership control of ASP (60%) & DSC (80%); a 10-year concession with respect to NIOMCO (with option to extend for another 10 years) and a Railway Concession with a duration of 20 years from their effective dates
October 2007
Minister of Mines and Steel Development, Alhaji Sarafa Tunji Ishola appointed and inaugurated an Administrative Panel of Enquiry (APE) to look into the activities of GINL in ASCL, DSC and NIOMCO
December 2007
APE submitted its report and recommends the termination of the GINL Concession Agreements with respect to ASP and NIOMCO
February 2008
14th February, FGN through the NRC, terminates the GINL October 2006 Concession Agreement with respect to the Itakpe-Ajaokuta-Aladja Central Railway.
18th February, NRC wrote to GINL withdrawing the termination letter
April 2008
President Yar’Adua cancels the FGN’s 2005 Concession of NIOMCO to GINL due to failure of GINL to show capacity for carrying the concession forward thereby revoking all rights in the Agreement. FGN is also convinced that the agreement was skewed in favour of GINL.
NOTE: If FGN had waited 25 more days, it could have taken advantage of clauses 3.2 & 12.1 of Ajaokuta SPA. GINL had an obligation to pay US$162m by 25th May 2008 for the purchase of ASCL shares – and it was apparent that this payment would not have been made by the due date
April 2008
GINL took the FGN to the International Chamber of Commerce Court of Arbitration (ICC) claiming huge damages for wrongful termination and breach of Contractual Agreements in respect of ASCL and NIOMCO. The Arbitration dragged for 4 years
December 2012
FGN under former President Goodluck Jonathan takes a view that an out-of-court settlement represented the best option to resolve the logjam with GINL, having taken legal advice that the cost of termination may be substantial. The AGF/MoJ constitutes a team to negotiate with GlNL on behalf of FGN
January-May 2013
FGN negotiating team met three times with GINL resulting in a “Framework Settlement Agreement (FSA)” dated 1 May 2013. Federal Government resolved through mediation and conciliation between its negotiation team and GINL, to re-concession NIOMCO to GlNL for 7 years and take back ASCL from GINL
December 2014
To implement the points agreed to in the Settlement Agreement three further meetings were held. The first was held on 5 June 2014 and the second was held on 30 and 31 July 2014. Paragraph 2 of the minutes of the meeting of 30 and 31 July 2014 required the prompt conclusion of the NIOMCO modified concession agreement
14th June 2016
Not entirely satisfied with the terms of the initial MCA, the Ministry of Mines and Steel Development led by the Minister, Dr. ‘Kayode Fayemi, initiated a modified NIOMCO Concession Agreement (MCA) as an Addendum to the 2013 FSA
July 2016
The Addendum to the MCA, contains the following key advantages to Nigeria:
– While GINL’s claim at arbitration was for a revalidation of original Concession Agreement, the MCA provides for an initial 7-year term (in consideration of the fact that GINL had already utilised 3 years of the original Agreement;
– Concession Fee was improved from 3% in former Concession Agreement to 4% of Annual turnover in the Modified Concession Agreement;
– The Renewal of the Modified Concession Agreement is no longer automatic as in the initial concession agreement;
– While the former Agreement stipulated that the concession was to be undertaken for the purpose of the Concessionnaire, the MCA stipulates that the concession is undertaken for the mutual benefit of the parties;
– Supplying the requirements of Ajaokuta Steel Co. Ltd. as a priority customer, before selling any excess to any other third party customer; and
– FGN is to constitute a Monitoring Committee consisting not more than Seven (7), Two (2) of whom shall be nominated by GINL better than the former which stipulates that the concessionaire shall appoint Three Fifths of the Board and the FGN Two Fifths
August 2016
Framework Settlement Agreement from the Jonathan Administration and the subsequent Modified NIOMCO Concession Agreement, executed by both parties, under the Chairmanship of the Vice President of the Federal Republic of Nigeria and Chairman, National Council on Privatization, Prof. Yemi Osinbajo, SAN
August 2016
Ministry of Mines and Steel Development presents status update on the MCA to House of Reps. Sub-Committee on signed MCA with GINL and NIOMCO, under the aegis of the House Committee on Privatization
September 2016
Ministry of Mines and Steel Development presents status update on Ajaokuta at 2-day interactive Session between House Committee on Steel and Iron & Steel Stakeholders
June 2017
The 2017 Appropriation Act is signed into Law, with N2.096,500,000 budgeted under MMSD for advancing the concessioning of the ASCL” (Reference: FMOSM76314197)
July 2017
MMSD presents at the Public Hearing on the Call to consider the original Builders of the Ajaokuta Steel Plant in the proposed Negotiation for the completion, reactivation and operation of the Project
As at 1st March 2018
• FGN grants GINL the access to the NIOMCO Concession Areas in Itakpe for the conduct of detailed Technical and Financial Due Diligence as stipulated in the FSA
• Both the Federal Government and GINL complete full Tax and Legal Audits of NIOMCO
• GINL has concluded the Due Diligence for NIOMCO
• Messrs Greenwich Trust Limited are engaged as Transaction Advisors on Due Diligence for NIOMCO
• PriceWaterhouseCoopers (PwC) is engaged to review the final inter Company indebtedness and financial audits for Ajaokuta
• Approval of Demobilization Payment to Messrs KOCH for rehabilitation work undertaken to improve NIOMCO Plant after GINL’s exit in 2008
April 2018
FGN expects Technical Audit for Ajaokuta to be completed and the process for soliciting Expressions of Interest from interested Core Investors to commence.
NOTE: On-going Technical Audit is being conducted by in-house personnel at ASCL.
Source: http://www.minesandsteel.gov.ng/2018/04/02/timeline-of-activities-on-ajaokuta-steel-company-limited/ |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by SamuelAnyawu(m): 4:38am On Apr 07, 2018 |
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Re: Timeline Of Activities On Ajaokuta Steel Company Limited by CriticMaestro: 5:48am On Apr 07, 2018 |
It's cheaper to import steel than produce it locally It's cheaper to import petrol than refine it locally
Why do they keep saying this things? |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by nero2face: 6:27am On Apr 07, 2018 |
1984
Light Section Mill (LSM) and Wire Rolling Mill (WRM) ran for a short period and were shut down due to lack of operating capital.
....no be today BUHARI Don start to spoil Nigeria progress...he is a curse to Nigeria |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by revolt(m): 7:07am On Apr 07, 2018 |
We've spent 48 yrs awarding concessions on our steel industry with no single beam produced . GOWON destroyed this nation . He set the template for all our problems today. Its s pity Nigerians aren't educated enough to realise he did the greatest damage to Nigeria. |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by Omololu2121: 7:48am On Apr 07, 2018 |
revolt: We've spent 48 yrs awarding concessions on our steel industry with no single beam produced . GOWON destroyed this nation . He set the template for all our problems today. Its s pity Nigerians aren't educated enough to realise he did the greatest damage to Nigeria. Gowon really messed up this country. He should have handed over in one or two years after the civil war,but the full kept on moving the handover date forward Men like Gowon have to be killed for ruining this country |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by Nobody: 7:50am On Apr 07, 2018 |
1 Like 1 Share |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by Nobody: 7:52am On Apr 07, 2018 |
CriticMaestro: It's cheaper to import steel than produce it locally It's cheaper to import petrol thanks refine it locally
Why do they keep saying this things? Its even cheaper to export crude oil and import petrol, than to refine crude oil locally. Never underestimate the 1mbecility of Nigger Area. cc lzaa onyeoga 1 Like 1 Share |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by LZAA: 7:58am On Apr 07, 2018 |
imhotep:
Its even cheaper to export crude oil and import petrol, than to refine crude oil locally. Never underestimate the 1mbecility of Nigger Area.
cc lzaa onyeoga |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by LZAA: 7:59am On Apr 07, 2018 |
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Re: Timeline Of Activities On Ajaokuta Steel Company Limited by vanunu: 9:08am On Apr 07, 2018 |
Tribalism and injustice have killed Nigeria, imagine Nigeria building steel mills in all zones except the South east, but today none of them is working. Injustice is not good and I can see the hand of God in what is happening in country. 1 Like |
Re: Timeline Of Activities On Ajaokuta Steel Company Limited by Blue3k2: 3:28pm On Apr 07, 2018 |
60 years of planning and nothing been accomplished this is honestly amazing. |