Ajaokuta Steel, Private Firm Sign MOU

Ajaokuta Steel Company Ltd (ASCL), has signed a Memorandum of Understanding (MoU) with a private firm, 3D-High Tech Systems Ltd, for the reactivation of its 110MW thermal power plant.
The Sole Administrator of ASCL, Mr. Joseph Onobere who signed on behalf of the company, on Friday said the MoU was in line with President Goodluck Jonathan’s recent inauguration of the National Industrial Revolution Plan.
Onobere said that the objective of the MoU was to generate energy for the steel plant and for sale to the national grid.
The sole administrator added that the company recently entered into similar arrangements for the Light Section Mill, the Wire Rod Mill and the Metallurgical Training Centre.
He commended ASCL staff for their “uncommon patriotism and loyalty in defending and protecting the steel plant” and solicited their cooperation for the success of the MoU.
The Managing Director of 3D-Hitech Systems Ltd, Mr Patrick Azi, who signed the MoU for the company, said $30 million (N4.8 billion) would be invested in the power plant.
He said “we are in this business of acquiring property from government or going into partnership with government with a view to revamping them, make our money as investors and leave.
“We intend to sell our products to power Distribution Companies (Discos). We are entering into power purchase agreement with these companies.”
He said the company planned to build 300MW plant to run side-by-side the plant in Ajaokuta.