By Atoyebi Nike
Nigeria’s push for industrial self-reliance has received a major boost following the signing of a $400 million cooperation agreement between the Federal Government and Stellar Steel Company Limited, a Chinese-backed firm, to establish a large-scale steel plant in Ewekoro, Ogun State.
The deal, sealed in Abuja between the Federal Ministry of Steel Development and Stellar Steel, represents one of the biggest foreign direct investments in Nigeria’s steel sector in nearly ten years. The plant, backed by China’s Galaxy Group and RSIN Group, is expected to begin operations by mid-2026.
According to the Minister of Steel Development, Prince Shuaibu Abubakar Audu, the partnership aligns with the government’s target of producing 10 million tonnes of crude steel annually by 2030. He said the ministry will provide policy and infrastructure support, including logistics integration into the National Infrastructure Plan.
The project is projected to create over 2,000 direct and 20,000 indirect jobs, develop a local iron ore supply chain, and save Nigeria over $1 billion in foreign exchange yearly. It will also promote green steel production using energy-efficient technology.
Mr. Li, President of Inner Galaxy Group, assured that Stellar Steel would complete the project within schedule and adhere to global safety standards.
Analysts see the Ewekoro project as a potential game-changer for Nigeria’s long-stalled steel sector, long dominated by the unfulfilled promise of the Ajaokuta Steel Complex.
