A significant development has been announced with the signing of a $1 billion (N1.6 trillion) memorandum of understanding (MoU) between Sinomach-He, a Chinese firm, and Nigeria’s Chart and Capstone Integrated Limited. The agreement, unveiled in Beijing during President Bola Tinubu’s state visit, marks a major step forward in the iron ore-to-steel project in Kogi State.

Dele Alake, Nigeria’s Minister of Solid Minerals Development, received the MoU, which is set to advance Nigeria’s industrial capabilities. Abel Edijala, CEO of Chart and Capstone Integrated Limited, commended the streamlined and corruption-free process for obtaining mining permits under the current administration.

Hou Encai, vice-manager of Sinomach-He, underscored the firm’s expertise in mining, iron production, and steel manufacturing, supported by a robust team of 15,000 employees, including 2,000 engineers. The agreement designates Sinomach-He as the master contractor responsible for engineering, procurement, and other key aspects of the project. Minister Alake assured that the government will provide necessary support to ensure the project’s successful and timely completion.