Nigeria to build an integrated steel plant

Kogi Iron Limited will build a first-of-its-kind cast steel plant in Nigeria near its Agbaja iron ore deposit in south-central Nigeria. The plant will make full use of the leased iron ore deposits, as well as nearby sources of coal and limestone. The Agbaja project is located on the Agbaya plateau in Kogi state, about 200 kilometers from the capital, Abuja.

Earlier in August, the company announced the progress of test work related to the commercialization of the project. Tenova, which oversaw the bulk sample testing program, confirmed the successful production of enriched iron ore concentrate suitable for pig iron production and refined metal suitable for billet production. In addition, Tenova's company clarified that there were no problems that could prevent the project from being economically viable as it moves on to the next phase.

Thereafter, Kogi Iron and Steel decided to move the project forward by developing financing and to appoint an independent consultant to evaluate the steel market in Nigeria as well as other West African markets. Sources indicate that Kogi is set to become the first domestic steel company in the country. It intends to convert its iron ore into a cast steel product that can be sold both domestically and internationally. The results of the feasibility study will give a clearer picture of the project.