Nigeria Secures 4bn Jindal Investment in Akwa Ibom Steel
L-R: Group CEO of NNPC Ltd, Mr. Mele Kyari; Mr. Venkatesh Jindal of Jindal Group; Minister of State Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo; Chairman of Jindal Group, Mr. Naveen Jindal, and Nigeria's Acting High Commissioner to India, Mr. Ahmad Tijani Lawal after a meeting to secure Jindal Group's commitment to offtake 450MMscfd of gas for their proposed Hot Briquetted Iron (HBI) Steel Plant in Akwa Ibom State, Nigeria.
In a significant boost for Nigeria’s industrial sector, the Federal Government has secured a commitment from the Jindal Group to invest $4 billion in a Hot Briquetted Iron (HBI) Steel Plant, expected to produce 10 million tonnes per annum. The plant will be located in the Ibom Solutions Hub Industrial Park (ISHIP), Akwa Ibom State, where Jindal will offtake 450 million metric standard cubic feet per day (MMscfd) of natural gas.
The project, described by officials as a landmark initiative, is set to create thousands of jobs and elevate Nigeria’s role as a regional leader in high-grade steel production. The agreement was formalised after a high-level meeting in New Delhi, India, between Nigeria’s Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, and Jindal Group Chairman, Mr. Naveen Jindal. The finalisation of a Gas Sales and Purchase Agreement (GSPA) is currently underway, with ISHIP and Jindal agreeing to lease 300 hectares within the free zone facility for the project.
“We view Nigeria as a strategically important market, particularly due to its vast natural gas reserves, which are vital for producing high-quality steel using new technology,” Jindal remarked, emphasizing the longstanding ties between Nigeria and India and Jindal’s interest in supporting Nigeria’s industrial and economic growth.
Minister Ekpo assured Jindal of the Federal Government’s commitment to creating a favourable environment for foreign investors, including substantial incentives within the gas sector. “The Nigerian government is committed to ensuring the safety and security of investments in our energy infrastructure, particularly for transformative projects such as this one,” he said, underscoring the government’s dedication to seeing the project through.
“This landmark development aligns with President Bola Tinubu’s vision for advancing Nigeria’s gas industry and underscores our commitment to attracting global investments,” Ekpo added. He highlighted the project’s potential to attract additional foreign investments, fostering an enabling climate for industrial expansion.
ISHIP, a joint venture of NNPC Limited, is strategically designed to attract heavy manufacturing industries across sectors including fertiliser, metals, and petrochemicals. During the visit, Ekpo and his delegation, which included Mr. Ahmed Tijani Lawal, Nigeria’s Acting High Commissioner to India; NNPC’s Group CEO, Mr. Mele Kolo Kyari; Executive Vice Presidents Mrs. Oritsemeyiwa Eyesan and Mr. Olalekan Ogunleye; and ISHIP Managing Director Mr. Ekene Obadiegwu, toured Jindal’s steel plant in Angul, India.
This collaboration promises a new era for Nigeria’s industrial sector, potentially redefining its standing in Africa’s manufacturing and energy landscape. Polaris Bank Retains Best Digital Bank Title for Fourth Year
