Re: NIGERIA NOW HAS 21 FUNCTIONAL STEEL MILLS - AGANGA

[Mobolaji Aluko]

Chuks Collins:

Don't be lost - since you are so interested only in the South-East, go home and find out how many steel rolling mills are situated there! :-)

But to spare you some effort - following which you can verify - at least in 2002,  of the 13 rolling mills, 7 mini mills and 2 integrated steel companies (a total of 22 steel companies):in the country: 

- there were three steel rolling mills in the South-East:  in Onitsha (Allied Steel Co.), Owerri (Metcombe Steel Co.) and Enugu (Nigersteel Co.), 

but there were also (in case you are interested), 

- three in the South-South: in Aladja-Ovwian (Delta Steel Co.,), in Asaba (General Steel Mill,) and in Eket (Qua Steel Products)

- four in North-Central: with one in Ajaokuta (Ajaokuta Steel Co. Ltd. ), two in Ilorin (Union Steel Co., Kwara Commercial, Metal and Chemical Industries) and one in Jos (Jos Steel Rolling Company)

- two in the North-West: in Kano (Nigerian Spanish Eng. Co.,)  and Katsina (Katsina Steel Rolling Co)

- one in Abuja (Baoyao Futurelex))

and the rest (nine) are  

- in the South-West, with three in Ikeja alone (Asiastic Manarin Ind, Continental Iron & Steel Co.,, Universal Steel Co,),  two each in Ikorodu (Kew Metal Industries,, Mayor Eng. Co.,) and Otta (Federated Steel Industry, Selsametal), and one each in Ibadan (Alliance Steel Co.) and Oshogbo (Oshogbo Steel Co)

Much of this information requires updating, particularly with respect death. resurrection and birth of some of the rolling mills and integrated mills - and I am doing so presently - but the above gives an indication of the steel companies' national spread. (See: http://www.afristeel.org/NIGERIAN%20STEEL%20INDUSTRY%20-%20HISTORICAL%20DEVELOPMENT.pdf)

After electricity, the iron and steel industry is CRITICAL to national technological development - and again, we got to strive to get it right.

And there you have it.

Bolaji Aluko

Chemical Engineer

On Sat, Jan 31, 2015 at 8:05 AM, Chuks Collins <ceesm...@gmail.com> wrote:

Am a bit lost. Please how many of this steel mills are located within South East?

Cheers

Chuks

Sent from my iPad

On Jan 30, 2015, at 8:55 PM, Okwukwe Ibiam <o.i...@gmail.com> wrote:

Nigeria now has 21 functional steel mills – Aganga

 

January 30, 2015 by Agency Report 15 Comments

   

 

Minister of Trade and Investment, Mr. Olusegun Aganga
| credits: File copy

The Minister of Industry, Trade and Investment, Mr. Olusegun Aganga, on Thursday said the number of functional steel mills in the country had increased to 21 from less than five a few years ago due to the implementation of the Nigerian Industrial Revolution Plan.

He said this when he inaugurated a N60bn integrated steel rolling mill in Sagamu, Ogun State built by Standard Metallurgical Company, adding that the government was committed to repositioning the steel sector to access a substantial share of the global wealth of the industry, estimated at $10tn.

“Before this administration came on board, we had less than five functioning steel rolling mills and no cold-rolled steel mill; but today there are more than 15 functioning steel rolling mills producing reinforced bars; about three functioning cold rolled steel mills producing cold rolled flat sheets; and about three producing or about to commence the production of wire coils. This is a visible evidence that our policies are working,” Aganga said.

According to him, steel is at the heart of any country’s economic development and is one of the most important materials widely used for both domestic and industrial purposes throughout the world, hence the priority given to the sector in the NIRP.

He said, “In addition to accelerating the industrial development of a nation, a vibrant steel sector contributes to the growth of the Gross Domestic Product and exploitation of Nigeria’s abundant natural resources.

“A vibrant steel sector also generates economic activities in downstream industries, creates job opportunities and acquisition of technical skills, and helps in the transfer of technology and provision of machine parts and tools. This particular project is being executed with 100 per cent locally-sourced raw materials.”

The minister noted that the establishment of the first phase of the SMC steel mill and the ground-breaking of the second phase would complement the company’s existing investments in the agri-business sub-sector, pointing out that the mill ranked among the largest private sector investments in the steel sector in Nigeria.

Aganga said, “I am assuring existing investors like SMC and prospective ones of government’s support in the pursuit of self-sufficiency in local steel production. The implementation of game changers in the sector is already opening up a lot of downstream sector activities, with the attendant massive job opportunities and economic empowerment for our engineers, technicians, artisans and fabricators alike.

“To date, a number of sectorial policies have been developed under the NIRP. The Sugarcane to Sugar under the National Sugar Master Plan has attracted over $3bn in investments.”

--

[udo...@appstate.edu]

Opinion on this issue

I am not sure that South Korea has this many steel mills housed in that country.
Yet, I believe that this country produces Hyundai and Kia, for example. In our
country, we cannot produce “a spoke for our bicycles” even though we claim to
have these many mills. A fact of the matter is that we have produced more than
enough engineers to use the products of these mills, if they are functioning at
all, to produce our own cars, etc. Our leaders should invite our best and
brightest engineers at home and Diaspora and put them to work for the good of
country. In any case, who am I fooling? Our epileptic “NEPA” does not work
efficiently. But we need an effective power generating system to run a steel
industry. Look at what the developing country, India, is doing. This country is
today involved in lunar exploration. Nigeria and South Africa could lead an
inspiring economic renaissance in the continent if we put our money where our
mouth is. We must not wait for the Chinese to do for us what we can do for
ourselves. This is my two cents on this vexing matter.

Ike Udogu

----- Original Message -----
From: Mobolaji Aluko <alu...@gmail.com>
Date: Sunday, February 1, 2015 4:18 am
Subject: USA Africa Dialogue Series - Re: NIGERIA NOW HAS 21 FUNCTIONAL STEEL
MILLS - AGANGA
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> Chuks Collins:
>
> Don't be lost - since you are so interested only in the South-East,
> go home
> and find out how many steel rolling mills are situated there! :-)
>
> But to spare you some effort - following which you can verify - at
> least in
> 2002, of the 13 rolling mills, 7 mini mills and 2 integrated steel
> companies (a total of 22 steel companies):in the country:
>
> - there were three steel rolling mills in the South-East: in Onitsha
> (Allied Steel Co.), Owerri (Metcombe Steel Co.) and Enugu
> (Nigersteel Co.),
>
> but there were also (in case you are interested),
>
> - three in the South-South: in Aladja-Ovwian (Delta Steel Co.,), in

> Asaba(General Steel Mill,) and in Eket (Qua Steel Products)

>
> - four in North-Central: with one in Ajaokuta (Ajaokuta Steel Co.
> Ltd. ),
> two in Ilorin (Union Steel Co., Kwara Commercial, Metal and Chemical
> Industries) and one in Jos (Jos Steel Rolling Company)
>
> - two in the North-West: in Kano (Nigerian Spanish Eng. Co.,) and

> Katsina(Katsina Steel Rolling Co)

>
> - one in Abuja (Baoyao Futurelex))
>
> and the rest (nine) are
>
> - in the South-West, with three in Ikeja alone (Asiastic Manarin Ind,
> Continental Iron & Steel Co.,, Universal Steel Co,), two each in

> Ikorodu(Kew Metal Industries,, Mayor Eng. Co.,) and Otta (Federated
> SteelIndustry, Selsametal), and one each in Ibadan (Alliance Steel

> Co.) and
> Oshogbo (Oshogbo Steel Co)
>
> Much of this information requires updating, particularly with respect
> death. resurrection and birth of some of the rolling mills and

> integratedmills - and I am doing so presently - but the above gives

> an indication of
> the steel companies' national spread. (See:
> http://www.afristeel.org/NIGERIAN%20STEEL%20INDUSTRY%20-
> %20HISTORICAL%20DEVELOPMENT.pdf)
>
> After electricity, the iron and steel industry is CRITICAL to national
> technological development - and again, we got to strive to get it
> right.
> And there you have it.
>
>
> Bolaji Aluko
> Chemical Engineer
>
>
> On Sat, Jan 31, 2015 at 8:05 AM, Chuks Collins
> <ceesm...@gmail.com> wrote:
>
> > Am a bit lost. Please how many of this steel mills are located
> within> South East?
> >
> > Cheers
> >
> >
> > Chuks
> >
> > Sent from my iPad
> >
> > On Jan 30, 2015, at 8:55 PM, Okwukwe Ibiam <o.i...@gmail.com>
> wrote:>
> > Nigeria now has 21 functional steel mills – Aganga
> >
> >
> > January 30, 2015 by Agency Report 15 Comments

> > <http://www.punchng.com/business/business-economy/nigeria-now-has-
> 21-functional-steel-mills-aganga/#disqus_thread>
> >
> >
> >
> >
> > <http://www.punchng.com/business/business-economy/nigeria-now-has-
> 21-functional-steel-mills-aganga/?print=1>

> >
> >
> > [image: Minister of Trade and Investment, Mr. Olusegun Aganga]
> >
> > Minister of Trade and Investment, Mr. Olusegun Aganga

> > * | credits: File copy*

> --
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[Okey Iheduru]

Dear Prof. Udogu:

I've copied and pasted below a preliminary answer to your inquiry regarding the number of steel mills in South Korea. This is just 1988 figures! After the Super Bowl (which will be played near my neck of the woods in the Valley of the Sun today), I'll dust my files and provide you with an updated figure. For now, you can conjecture what the number of steel mills could be, given the phenomenal expansion and growth of the SK economy since 1988.

You see, most of the time, Nigerians are their worst enemies, especially some Diaspora intellectuals who rarely return and are grossly out of touch with the reality on the ground--beyond the yellow, alaiye-alaiye journalism they're rely on for their "expertise." Believe it or not, Nigeria is a really good country, all its recent travails notwithstanding.

Peace as always!

Okey

+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

South Korea

Industry

Steel

Source: http://countrystudies.us/south-korea/50.htm

In 1989 South Korea was the world's tenth largest steel producer, accounting for 2.3 percent of world steel production. South Korea continued to expand crude steel production--19.3 million tons for 1988, up 14.9 percent over 1987. Domestic demand for steel products increased 8.5 percent from 15 million tons to 16.3 million tons over the same period because of the growing demands of South Korean industry. Domestic demand accounted for 70 percent of the total, mostly because of the increased needs of such steel-consuming industries as automobiles, shipbuilding, and electronics.

The steel industry grew in the 1970s after the government constructed the POSCO mill to service Seoul's rapidly growing automobile, shipbuilding, and construction industries. In 1988 South Korea's steel industry included 200 steel companies. Iron and steel production was expected to increase in the early 1990s, given the output increases in domestic user industries. Exports were likely to be flat or to decline because of decreased international demand.

--

Okey Iheduru, PhD

You can access some of my papers on the Social Science Research Network (SSRN) at: http://ssrn.com/author=2131462.

[Ademola O. Dasylva]

I suppose it was Shagari's NPN ruling government that negotiated with the Russian government to establish the Ajaokuta Steel rolling mill that produced iron rods only. The government was deceived to believe that since Nigeria needed a lot of construction works to do (buildings, bridges and roads), it was better to go into massive rod production, not flat sheet. On the contrary, I should have thought that a country like Nigeria needed both plants for rod production and flat sheets to get serious with industrialization, including automobiles. 

Those at the helm of affairs should know better, to have invested our crude oil money into procuring plants that produce flat sheets, activate/refurbish our dormant refineries, instead of looting our national treasury silly. 

Well, February 14, is around the corner, it  shall determine if Nigerians are really serious as a people, or we go on sleep walking for another four years. May God save Nigeria.

Ademola Omobewaji Dasylva

Sent from my BlackBerry 10 smartphone.

From: udo...@appstate.edu Sent: Sunday, February 1, 2015 21:59 To: usaafric...@googlegroups.com Reply To: usaafric...@googlegroups.com Subject: Re: USA Africa Dialogue Series - Re: NIGERIA NOW HAS 21 FUNCTIONAL STEEL MILLS - AGANGA

[Mobolaji Aluko]

Dear Ike Udogu and Okey Iheduru:

Please note that steel rolling mills are where you make 

     (i) Cast iron (different categories)

    (ii) Rods and bars (both high tensile and mild steel varieties)

    (iii) Wires (in all its ramifications)

   (iv) Structural steels (light, medium and heavy structural)

   (v) Flat sheet steels (plain, and galvanized, and also the entire spectrum

 classified as flats)

    (vi) Stainless and other special alloy steels

   (vii) Rails and pipes

   (viii) Plates (various sizes in width and thickness)

and steel making (making of the billets, from the iron ore at Itakpe) are quite different, even though complementary.  Integrated steel mills do everything - make steel and roll them.

In Nigeria, only two steel-making plants exist - in Ajaokuta (plate capacity of 1.35 mt per year) and Owvian/Aladga (1.02 mt per year).  All the others mini-mills (using scrap ferrous materials as starting raw materials) or rolling mills (using home-made or imported billets).

Finally,  below from Wikipedia, here is a list of top Forty World Steel producers by volume.  That will properly place Nigeria's production.

And there you have it.

Bolaji Aluko

-----

http://en.wikipedia.org/wiki/List_of_steel_producers

Top producers by volume[edit]

This is a list of the largest steel-producing companies in the world, mostly based on the list by the World Steel Association. This list ranks steelmakers by volume of steel production in millions of tonnes and includes all steelmakers with production over 10 millions in 2013.

The World Steel Association compiles a list from its members every year. Note that due to mergers, year-to-year figures for some producers are not comparable. Also note that not all steel is the same; some steel is more valuable than other steel, so volume is not the same as turnover.

In millions of tonnes (Tg)

Ranking (2013)	2013[1]	2012[2]	2011[3]	2010[3]	2009[3]	2008[3]	2007[3]	Company	Headquarters
1	96.1	93.6	97.2	98.2	77.5	103.3	116.4	ArcelorMittal	Luxembourg
2	50.1	47.9	33.4[4]	35.0[4]	26.5[4]	37.5[4]	35.7[4]	Nippon Steel & Sumitomo Metal	Japan
3	45.8	42.8	44.4	52.9[5]	40.2[6]	33.3	31.1	Hebei Iron and Steel	China
4	43.9	42.7	43.3	37.0	31.3	35.4	28.6	Baosteel Group	China
5	39.3	36.4	37.7	36.6[5]	30.3	27.7	20.2	Wuhan Iron and Steel	China
6	38.4	39.9	39.1	35.4	31.1	34.7	31.1	POSCO	South Korea
7	35.1	32.3	31.9	30.1[5]	26.4[5]	23.3	22.9	Jiangsu Shagang	China
8	33.7	30.2	29.8	22.1	20.1	16.0	16.2	Ansteel	China
9	31.5	31.4	30.0	25.8[5]	17.3[5]	12.2	12.9	Shougang	China
10	31.2	30.4	29.9	31.1	25.8	33.0	34.0	JFE	Japan
11	25.3	23.0	23.8	23.5[5]	21.9[5]	24.4	26.5	Tata Steel	India
12	22.8	23.0	24.0	23.2[5]	26.4[6]	21.8[7]	23.8	Shandong Iron and Steel Group	China
13	20.4	21.4	22.0	22.3	15.2	23.2	21.5	United States Steel Corporation	United States
14	20.2	20.1	19.9	18.3	14.0	20.4	20.0	Nucor Corporation	United States
15	19.3	17.3[8]	19.2[9]	17.5[9]	-	-	-	Bohai Iron and Steel Group	China
16	19.0	19.8	20.5	21.6	14.2	20.4	18.6	Gerdau	Brazil
17	18.8	17.3	16.7	15.4[5]	14.8[6]	15.0[6]	14.2	Maanshan Iron and Steel Company	China
18	17.2	17.1	16.3	12.9	8.4	9.9	10.0	Hyundai Steel	South Korea
19	16.8	15.1	16.5	22.1[5]	9.1[5]	7.4[6]	7.6	Benxi Steel	China
20	16.1	15.9	16.8	16.3	15.3	17.7	16.2	Evraz	Russia
21	15.7	15.1	15.3	14.7[5]	16.7	19.2	17.3	Severstal	Russia
22	15.5	14.9	12.1	11.9	10.9	11.3	9.7	Novolipetsk Steel	Russia
23	15.0	14.1	15.9	15.1[5]	11.8[6]	11.3[6]	11.1	Valin Steel Group	China
24	14.3	12.5	14.4	13.8[5]	7.0[5]	8.2[6]	9.1	Metinvest	Ukraine
25	14.3	13.8	12.4	8.8[5]	8.4[5]	6.5	7.8	Jianlong Steel	China
26	14.3	13.6	12.6	11.4	10.6	10.0	10.1	IMIDRO	Iran
27	14.3	12.7	14.0	12.7	8.9	11.0	10.9	China Steel	Taiwan
28	13.5	13.5	13.5	13.6	13.5	13.7	13.9	Steel Authority of India Limited	India
29	13.2	-	-	-	-	-	-	Fangda Steel[10]	China
30	12.7	13.2	11.2	9.8[5]	9.9[5]	7.5	6.2	Rizhao Steel	China
31	12.5	15.1	17.9	16.7[5]	11.0	15.9	17.0	ThyssenKrupp	Germany
32	11.9	13.0	12.2	11.4	9.6	12.0	13.3	Magnitogorsk Iron and Steel Works	Russia
33	11.8	8.5	N/A	6.4	5.5	3.8	3.0	JSW Steel Ltd	India
34	11.2	10.1	10.2	8.6[5]	7.6[5]	6.9	7.4	Jiuquan Steel	China
35	10.7	10.2	10.2	10.1[5]	10.1[5]	8.8	9.8	Baotou Steel	China
36	10.3	7.7	9.4	10.0[5]	8.5[5]	9.0[6]		Anyang Steel	China
37	10.2	9.1	N/A	N/A	N/A	N/A	N/A	Handan Zongheng Iron and Steel	China
38	10.0	10.1	9.9	9.6[5]	9.5[5]	9.2	9.3	Taiyuan Iron and Steel	China
World total	1,607	1,548	1,490	1,413	1,219	1,329	1,351	-	-

Other major steel producers[edit]

[Okey Iheduru]

Bolaji:

Sometimes "information overload" or what my daughter calls "TMI" (too much information) could lead to distortion of the message or distraction from the issue at hand. 

This is what the posted news story said:

"The Minister of Industry, Trade and Investment, Mr. Olusegun Aganga, on Thursday said the number of functional steel mills in the country had increased to 21 from less than five a few years ago due to the implementation of the Nigerian Industrial Revolution Plan." (my emphasis)

And this is part of what Prof. Udogu wrote that attracted my reaction: "I am not sure that South Korea has this many steel mills housed in that country" (my emphasis).

I certainly know the difference between a steel rolling mill and steel-making from ore. You can't dispute the fact that South Korea has more than 200 steel mills. Here are the four steel-making (from ore) companies in South Korea. 

Dongbu

Dongkuk Steel

Hyndai Hysco

Hyndai Steel

POSCO

POSCO is one of the Chaebols set up by Gen. Park in the 1960s as part of his overall policy of export-led import-substitution industrialization (ELI) that catapulted SK into the newly-industrializing country (NIC) status. Like other Chaebols, POSCO is no longer a state-owned enterprise.

My team (NE Patriots) are losing, and it's all your fault because instead of cheering them hard, I'm here responding to you!

In this one, I think we can say, "There you DON"T have it," Prof.

[Mobolaji Aluko]

Okey:

Okay...no more info overload...I am glad that you do know the difference between steel mills and steel making plants.

And congratulations for the monumental NE Patriots win - I had hoped that Seattle Seahawks would win (having lived in Seattle before for about five months), but that was not to be.

I just hope that APC and PDP will take February 14 like a Patriots-Seahawks match......

And there you have it....Now I can go to bed here in Yenagoa...

Bolaji Aluko

1. NFL Super Bowl XLIX

   Today, 12:30 AM

   University of Phoenix Stadium, Glendale, Arizona

   New England Patriots (15-4)

    

   28 - 24

   Final

   Seattle Seahawks (14-5)

   	1	2	3	4		Total
   Patriots	0	14	0	14		28
   Seahawks	0	14	10	0		24

   Recap

   All times are in West Africa Standard Time

[Salimonu Kadiri]

The Minister of Industry, Trade and Investment, Mr Olusegun Aganga, has told Nigerians that the country now has 21 functional steel mills. While Nigeria may have 21 steel mill sights (buildings), it is doubtful if the 21 steel mills are functional if we consider the power generation in Nigeria on which the steel mills depend to be functional.
 
On 11 November 2014, President Jonathan declared his intention to seek his Party nomination for February 14, 2015, Presidential election and he enumerated about one hundred items of his achievements in office in the past four years to justify his re-election. Concerning power generation, he declared under item 13 thus, "Our power generation and distribution companies have now been privatized. We are firmly on the road to guaranteed regular power supply in the months ahead. This our bold move is paying off!" However, in the 2015 Budget submitted to the National Assembly for approval, the President is asking for thirty-five million, three-hundred and forty-four thousand, eight-hundred and fifty-five million naira for plant and generator fuel to produce electricity for Presidential villa. If the President's policy *is firmly on the road to guaranteed regular power supply in the months ahead* for Nigerians, why should the President envisage to spend almost N 36 million to buy plant and generator fuel to supply his presidential villa with electricity? It may not be necessary to answer that question as the Punch online of Thursday, 8 January 2015, had this headline: Power Supply Drops to 2,800 MW. Thereafter, readers were informed that power supply from national grid to households and businesses in the country tumbled below 3,000 megawatts... Specifically, power generation fell to 2,948.45MW on Tuesday, 6 January 2015, while 2,880.31MW  was sent out, according to data obtained from the Presidential Task Force on power, on Wednesday. As of 29 December 2014, 4,389.7 MW was generated out of which 4, 112.29MW was sent out. Punch reminded readers that the country (Nigeria) achieved the highest peak generation of 4,517.6MW of electricity on 23 December 2012. With the amount of electricity generated in Nigeria, it is highly impossible to get one functional steel mill in Nigeria not to talk of twenty-one. You cannot fry AKARA (baked beans) without oil just as you cannot get functional steel mill without electricity. Aganga, off course, is a magician like a typical Nigerian officials who are very clever in conjuring chickens out of handkerchief.   
 

---

Date: Sun, 1 Feb 2015 07:53:03 +0100

Subject: USA Africa Dialogue Series - Re: NIGERIA NOW HAS 21 FUNCTIONAL STEEL MILLS - AGANGA

From: alu...@gmail.com
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