The Federal Government has declared that Ajaokuta Steel Company is in good shape, contrary to recent media reports.

In a statement signed by Head of Press and Public Relations Department at the Ministry of Steel Development, Salamatu Jibaniya, the government emphasized its commitment to developing Nigeria’s steel sector, including the resuscitation of Ajaokuta Steel Company Limited.

The statement noted that a comprehensive technical and financial audit of the plant is currently underway to ensure that any decision taken is transparent, data-driven, and in the best interest of Nigeria.

According to the ministry, a previous technical audit report in 2018 maintained that the general status of the steel plant is in robust condition, except for normal deterioration of replaceable parts. The report also recommended automation of manual control systems for improved efficiency.

The ministry remains confident that the updated audit will provide a sound basis for decisive action that advances Nigeria’s industrial aspirations. The government assured that any decision regarding the future of ASCL will be taken with careful consideration of the audit findings.

The statement read in part, “The attention of the Federal Ministry of Steel Development has been drawn to recent media reports regarding the future of the Ajaokuta Steel Company Limited.

“While we note the concerns expressed, it is important to state that the Federal Government remains firmly committed to the development of Nigeria’s steel sector, including the resuscitation of ASCL.

“A comprehensive technical and financial audit of the plant is presently underway to ensure that any decision taken is transparent, data-driven and in the best interest of Nigeria.

“The overall assessment of the previous technical audit report dated 2018 maintained that the general status of the Steel Plant is in robust condition except for normal deterioration of replaceable parts and recommended automation of manual control systems for improved efficiency.”

Meanwhile, according to the statement, “The ministry remains confident that the updated audit will provide a sound basis for decisive action that advances Nigeria’s industrial aspirations”.

President of Dangote Petroleum Refinery, Alhaji Aliko Dangote, had on Tuesday declared that the long-abandoned Ajaokuta Steel Complex may never become operational, arguing that rapid global technological progress has rendered the project obsolete.

Speaking with journalists, the billionaire industrialist emphasized that no country can achieve sustainable growth without a strong steel sector, but expressed doubt about Ajaokuta’s future.

“The truth is, we’ll explore opportunities in steel production because every nation needs it to develop. But let’s be frank—Ajaokuta cannot work. We can continue to fool ourselves or hold on emotionally, but the reality is that it’s no longer feasible,” Dangote stated.