The Federal Government has pledged to revive the long-dormant Premium Steel and Mines Limited, formerly known as Delta Steel Company, Ovwian–Aladja in Delta State. This resuscitation, officials say, is a key component of President Bola Tinubu’s economic transformation agenda aimed at growing Nigeria’s Gross Domestic Product (GDP) to $1 trillion.
Minister of Steel Development, Prince Shuaibu Abubakar Audu, made the announcement during an inspection tour of the plant, reiterating the government’s unwavering commitment to restoring the once-thriving facility regardless of ownership complexities.
Prince Audu emphasized that Premium Steel and Mines Limited holds massive potential, with its strategic location near a deep-sea port and rail linkages to the Ajaokuta Steel Company and the National Iron Ore Mining Company in Itakpe. The plant, which has been inactive since 2021, has an installed capacity to produce one million tonnes of liquid steel annually, making it one of Nigeria’s most valuable industrial assets.
“The revival of this plant will not only unlock immense economic value but also generate over 5,000 direct jobs and an estimated 10,000 indirect employment opportunities,” Audu stated. “This is in line with President Tinubu’s Renewed Hope Agenda to transform Nigeria into a global steel powerhouse.”
According to the Minister, the Ministry of Steel Development is spearheading a national roadmap to rejuvenate Nigeria’s steel industry, starting with Premium Steel, Ajaokuta Steel Company, Itakpe’s National Iron Ore Mining Company, the Aluminium Smelter Company of Nigeria in Ikot Abasi, and the Inland Rolling Mills in Osogbo, Katsina, and Jos.
“This is more than just economic revival; it’s about reclaiming Nigeria’s industrial future. Steel is the backbone of every developed economy, and for Nigeria to claim its rightful place on the global stage, the steel sector must thrive,” he added.
Prince Audu condemned Nigeria’s annual $4 billion steel import bill as unacceptable, vowing that the Tinubu administration would reverse the trend by promoting local production, protecting indigenous operators, and ensuring quality output.
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The Minister was accompanied on the tour by top ministry officials and was received by the Vice Chairman of Premium Steel, Mahesh Vashmi, and the Chief Executive Officer, Sahil Vasweni.
Vasweni disclosed an ongoing strategic partnership with a Fortune 500 global steel giant to fully resuscitate the plant within two years. He also highlighted critical challenges facing operations, including raw material sourcing and logistics bottlenecks.
Founded in 1977 through a contract between the Nigerian government and a German-Austrian consortium, the Delta Steel Company was one of Nigeria’s most ambitious industrial projects. Commissioned in 1982, it was designed to operate with direct reduction and electric arc furnace technologies. However, full operations ceased in 1997 due to various structural and financial issues. The company was privatized in 2005 and later acquired by Premium Steel & Mines Limited in 2015 following a sale by the Asset Management Corporation of Nigeria (AMCON).
The renewed government focus on Premium Steel marks a turning point for Nigeria’s steel industry, signaling a bold step toward industrial independence and economic prosperity.
