The Federal Ministry of Steel Development has signed a joint strategic cooperation declaration with Inner Galaxy Group’s Stellar Steel Company Limited to establish a $400 million modern steel plant in Ewekoro, Ogun State.
The agreement is part of the Nigerian government’s ongoing efforts to accelerate industrialisation and achieve self-sufficiency in steel production, said Minister of Steel Development, Prince Shuaibu Abubakar Audu, in a statement.
Signed on Tuesday, October 28, 2025, in Abuja, the declaration marks a major milestone in the administration’s drive to revive the steel sector and position it as a catalyst for national economic growth toward a $1 trillion economy by 2030.
The Federal Ministry of Steel Development has signed a joint strategic cooperation declaration with Inner Galaxy Group’s Stellar Steel Company Limited to establish a $400 million modern steel plant in Ewekoro, Ogun State.
Industrial growth and economic impact
Minister Audu emphasized the government’s commitment to creating an enabling environment for strategic investors in the steel sector. He said the project aligns with President Bola Tinubu’s “Renewed Hope Agenda”, aimed at promoting industrial growth, reducing import dependence, and creating sustainable jobs.
The partnership supports Nigeria’s target of producing 10 million tonnes of crude steel annually by 2030. It is expected to build a localised iron ore supply chain, cutting production costs and saving over $1 billion in foreign exchange annually. The project is also anticipated to create over 2,000 direct and 20,000 indirect jobs, stimulate downstream industries, and promote clean and green steel production technologies.
Under the declaration, the Ministry will facilitate fiscal incentives, infrastructure support, and regulatory frameworks to ensure the project’s long-term viability. Stellar Steel will implement a local recruitment and training programme in partnership with Nigerian universities and technical institutes to develop local expertise in steel technology and management.
Environmental sustainability
Speaking on behalf of Stellar Steel, Group Chairman Xiaotian You confirmed the company’s commitment to deploying advanced technologies and global best practices in steel production to meet high-quality standards and comply with environmental sustainability requirements.
The steel plant’s groundbreaking ceremony was previously conducted by Minister Audu in April 2025. Once completed, it is expected to serve as a benchmark for modern steel production in Nigeria, contributing to national development, infrastructure growth, and job creation.Also present at the signing were members of the Chinese delegation, including Inner Galaxy Group President Li Shuang, Vice President Jackie Chen, and a director of RSIN Group.
