In a recent interview, Aliko Dangote stated that he would no longer pursue steel production, implying that many people are capable of entering the business. Nigeria’s steel manufacturing began in the early 20th century, but increased significantly in the 1970s due to abundant natural resources such as iron ore, coal, and limestone......See Full Story>>.....See Full Story>>
In 1979, the Nigerian government established the Ajaokuta Steel Company in Kogi State with the goal of creating a big, integrated steel production.
The Soviet Union supplied machines, equipment, and knowledge. However, the project encountered numerous issues, including delays, a lack of funding, and ineffective management.
Around the same time, the Delta Steel Company (DSC) was founded in Aladja, Delta State, with electric furnaces producing steel from scrap metal.
Despite initial success, the Ajaokuta and Delta steel factories had technical challenges, inadequate infrastructure, political instability, and contradictory policies.
Here are five wealthy Nigerians with the potential to invest in steel production.
1. Abdulsamad Rabiu
Abdulsamad Rabiu, the founder of BUA Group, has developed a Nigerian conglomerate that produces cement, refines sugar, and invests in real estate. He is ranked sixth on Forbes Africa’s Billionaires (2024) and 249th on Forbes World’s Billionaires (2023), with a net worth of $5.9 billion.
Rabiu merged his Obu Cement company with the Cement Co. of Northern Nigeria in January 2020 to become BUA Cement Plc, which is listed on the Nigerian Exchange Limited (NGX) and is 98.2% controlled by Rabiu.
He also owns 95% of BUA Foods plc. Rabiu began his firm in 1988 by importing iron, steel, and chemicals.
2. Mike Adenuga
Mike Adenuga, Nigeria’s second richest man, has built his fortune through telecommunications and oil production.
According to Forbes, he is worth $6.9 billion and ranks fifth among Africa’s billionaires (2024) and 418 among the world’s billionaires (2023). His company, Globacom, is Nigeria’s second-largest mobile network, with over 60 million customers.
Adenuga also owns Conoil Producing, which runs six oil blocks in the Niger Delta, and has a large position in Conoil and Sterling Financial Holdings. Adenuga, an Oyo State graduate, holds a Business Administration degree from Northwestern Alva Oklahoma State University and an MBA from Pace University in New York.
3. Femi Otedola
Femi Otedola is a millionaire who first built his money in commodities before moving into the energy business. He is the chairman of Geregu Power and holds more than 70% of the company’s shares. He is ranked 19th on Forbes Africa’s Billionaires (2024), having previously been mentioned on Forbes World’s Billionaires in 2016.
Otedola sold a portion of his investment in Geregu to attract institutional investors such as the Nigerian government and China’s State Grid Corporation. He has residences in Lagos, Dubai, London, and Monaco, as well as interests in Zenith Bank and FBN Holdings.
4. Jim Ovia
Jim Ovia, the founder and chairman of Zenith Bank, is a prominent player in the banking business. He is the author of “Africa Rise And Shine,” and he has degrees from Southern University of Louisiana, the University of Louisiana at Monroe, and Harvard Business School.
Ovia, from Agbor Delta State, has a net worth of more than $980 million and is a philanthropist through the Jim Ovia Foundation, which has awarded scholarships to over 1,500 students and founded James Hope College in his birthplace.
5. Igho Sanomi
Igho Charles Sanomi is a businessman who invests in oil, power, logistics, telecommunications, maritime, aviation, and real estate. Sanomi was born in Agbor, Delta State, and created the Taleveras Group, an energy trading company, in 2004.
Taleveras processes more than 100 million barrels of crude oil per year, in addition to gasoline, LPG, and jet fuel. The corporation also has oil blocks in Ivory Coast and a power distribution company in Nigeria.
Sanomi earned a BSc. in geology and mining from the University of Jos before co-founding Sarian Oil, where he made substantial contributions to trading operations and international collaborations.