Nigeria is sitting on about three billion tonnes of iron ore reserves that could power a major expansion of the country’s steel industry.

The National Steel Raw Materials Exploration Agency says these resources could supply the Ajaokuta Steel Complex once the plant becomes fully operational.

The agency’s Director-General, Kolawole Ogunbiyi, explained that further exploration, laboratory testing, and updated geological data are still needed. He said reliable funding and clear off-takers are also essential to turn the mineral wealth into actual steel production, jobs, and industrial growth.

Iron ore from Itakpe remains the flagship deposit for Nigeria’s steel plans because of its quantity and relatively low impurities. However, the full value chain cannot work with iron ore alone. Limestone and coal are also required, and these resources need proper assessment and development.

The government has conducted aeromagnetic surveys and collaborated with international partners in the past to identify promising deposits. Officials stress that modern exploration and proven reserves are necessary to attract serious investors and avoid relying on outdated or incomplete information.

Experts say Nigeria’s steel ambitions will only succeed when exploration, mining, processing, and market demand are properly linked. Until then, the country’s vast iron ore reserves will remain largely untapped, limiting the potential for industrial growth and economic diversification.

Photo credit: Punch Newspaper