The Federal Government has entered into a $400 million partnership agreement with Stellar Steel Company Limited, a subsidiary of China’s Inner Galaxy Group and RSIN Group, to establish an integrated steel manufacturing plant in Ewekoro, Ogun State.
The agreement, signed in Abuja by the Minister of Steel Development, Prince Shuaibu Abubakar Audu, represents a major milestone in Nigeria’s renewed efforts to revive its struggling steel sector and promote industrial growth.
Under the terms of the deal, the project will be executed in three development phases, with initial operations scheduled to begin by mid-2026. When completed, the plant is expected to expand Nigeria’s crude steel output capacity to 10 million tonnes annually by 2030, reducing heavy reliance on steel imports and supporting local industries.
Prince Audu described the collaboration as a strategic boost to the nation’s industrial ambitions, noting that it will generate more than 2,000 direct jobs and an estimated 20,000 indirect employment opportunities across the steel value chain.
“This project is a bold step toward achieving industrial independence. It aligns with President Bola Tinubu’s Renewed Hope Agenda and the drive to build a $1 trillion economy by 2030,” the minister stated.
Stellar Steel’s parent companies—Inner Galaxy and RSIN Group—are renowned for their use of modern, eco-friendly steel technologies and sustainable production methods.
Beyond job creation, the project will also establish a domestic iron-ore supply network, saving Nigeria approximately $1 billion yearly in foreign exchange. The Federal Ministry of Steel Development pledged to provide policy backing, infrastructure support, and inclusion in the National Industrial Development Plan to ensure the project’s success.
Analysts say the investment could reposition Nigeria as a leading steel producer in West Africa, drive local manufacturing, and stimulate economic diversification.
Written By:Subair Damilare Adebayo
