According to African media sources, local government authorities in Nigeria, Chinese trading company Sinostar International (Sinostar) and another Chinese company whose identity has not yet been disclosed have begun construction of a new integrated steel plant in the northwestern Nigerian state of Zamfara.
The new integrated steel plant is expected to cost around NGN 17 billion ($115 million).
Commenting on the construction, Deng Bowen, project manager of the new plant, said that the steel plant would process 300,000 mt of iron and steel per year for local consumption and export. Mr. Bowen added that the project would provide at least 2,000 direct employment opportunities when completed.
The first phase of the project, which entails the construction of a mineral processing center, has already commenced at a site near the state capital Gusau. According to Mr. Bowen, the first phase of the project will be completed in 2009, while the second phase is expected to commence in January 2010.
The Zamfara state government last year signed a memorandum of understanding with Sinostar to finance the project in question under its public private partnership program.