Nigeria's House of Representatives probes NIOMCO-Premium Steel deal

The Nigerian House of Representatives Committee on Steel Development has launched a preliminary investigation into a sub-lease and operation agreement between the National Iron Ore Mining Company (NIOMCO) and Premium Steel and Mines Limited.

The probe was triggered by a petition from the civil society organization Public Accountability and Transparency International. The petition alleges potential breaches of the Public Procurement Act, 2007, by the Federal Ministry of Steel Development and its agencies. Key concerns include the process of iron ore allocation and whether the agreement undermines federal efforts to revive the Ajaokuta Steel Company Limited.

Additionally, the investigation will examine contracts related to the technical and financial audit of Ajaokuta Steel Company Limited, as well as the digitization of its archives. Committee Chair Zainab Gimba stated the investigation aims to safeguard public funds and ensure value for money within the steel sector. The committee has requested relevant documents and official responses from the concerned authorities to determine compliance with procurement laws.