The Federal Government is collaborating with India’s Jindal Group to establish a steel and power plant in Akwa Ibom, located in Nigeria’s South-South region. The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, announced this on Sunday after a visit to India, where he engaged with senior officials from Jindal Group.
Ekpo, joined by Mele Kyari, Group Chief Executive Officer (GCEO) of Nigerian National Petroleum Corporation (NNPC) Limited, confirmed that the planned partnership aims to develop a 10 million tons per annum High Briquetted Iron (HBI) steel plant and a 650MW power plant within Akwa Ibom’s Ibom Solutions Gas Hub.
“I have just arrived in New Delhi, India, accompanied by Mr. Mele Kyari, GCEO of NNPC Ltd., and we were warmly received by Mr. Ahmad Tijani Lawal, Acting High Commissioner for Nigeria to India, and Mr. Mukesh Sharma, Country Head of Jindal Nigeria Ltd.,” Ekpo stated.
“Our visit is focused on engaging in strategic discussions with the Jindal Group to advance plans for the establishment of a 10 million tons per annum High Briquetted Iron (HBI) Steel Plant and a 650MW Power Plant in the Ibom Solutions Gas Hub, Akwa Ibom State,” he added. “This project will require about 450MMscfd of gas for startup and aligns with the Federal Government’s commitment to gas-based industrialisation and driving economic growth in Nigeria.”
In its efforts to diversify from oil, Nigeria aims to capitalise on its substantial gas reserves, estimated at 200 trillion cubic feet, much of which is currently flared or reinjected into wells.
Previously, the Federal Government approved UTM Offshore Limited’s proposal to construct Nigeria’s first floating LNG plant in Akwa Ibom, with an expected production capacity of 2.8 million metric tons per year. The plant, estimated to cost over $2 billion, will be located offshore in the Niger Delta and is scheduled for commissioning in 2028, with initial gas output projected for 2029. This facility will produce Liquefied Natural Gas (LNG), petroleum gas, and condensate. The Nigerian National Petroleum Co. Ltd. holds a 20% stake in the project through a partnership agreement with UTM Offshore.
