Delta Injects $60m Into Steel Project

In a bid to improve its manufacturing capacity to 1.2 million tons, Delta Steel Company (DSC), Ovwian Aadja, Delta State, has set out a rolling plan to expand by injecting the sum of $60 million into the nation’s integrated steel mill.

The investment, according to the Joint Managing Director of the company, Samuel Nwabuokei is expected to kick-off in March, 2010. 

Nwabokei told The Tide yesterday in Warri that the DSC is determined to meet the nation’s steel demand and extend its production output to other countries within the West African sub-region.

He explained that the expansion plan is envisaged to rehabilitate, upgrade and modernise the steel plant and enhance its production capacity to 1.2 million tons per annum to match with the required production capacity, by upgrading the Electric Arc Furnace, Pneumatic Systems and other related balancing equipment.

In his word, “with the increase, Delta Steel is confident of fulfilling the domestic need of the Rolling Mills at full capacity and also of exporting billets to ECOWAS group of countries, thereby saving valuable foreign exchange resources which otherwise would have been used to import billets and radar”.                                                       

He further said that expansion activities at the steel complex have started and that full erection will commence at the end of this year so as to complete the facilities at the March 2010 target date.

Nwabokei also revealed that contracts have already been awarded for the plant and equipment with renowned international contractors, adding that there is a total commitment to introducing new initiatives and ideas that would enhance the ability of the company to add greater value to its customers.