Subhead: Committee gives Steel Minister seven days to produce approvals, contracts, procurement records
The House of Representatives has commenced a preliminary investigation into the sub-lease and operation agreement between the National Iron Ore Mining Company (NIOMCO) and Premium Steel and Mines Limited.
The investigation, being conducted by the House Committee on Steel Development, also covers alleged breaches of the Public Procurement Act by the Federal Ministry of Steel Development and its agencies.
The probe followed a petition dated August 20, 2026, by Public Accountability & Transparency International, a civil society organisation.
Chairman of the committee, Zainab Gimba, disclosed the development in a letter dated September 10, 2026, addressed to the Minister of Steel Development.
Gimba said the committee commenced the investigation pursuant to Sections 88 and 89 of the 1999 Constitution and Order 17 of the Standing Orders of the House of Representatives.
According to the committee, the petition raised concerns about the NIOMCO-Premium Steel agreement and alleged that iron ore intended for the reactivation and operation of Ajaokuta Steel Company Limited had been concessioned to an Indian company.
The lawmakers said the petitioners questioned the arrangement against the backdrop of the Federal Government’s efforts to revive Ajaokuta Steel under President Bola Tinubu’s Renewed Hope Agenda.
The committee is also examining allegations concerning the previous management of NIOMCO by the same Indian company during the administrations of former Presidents Olusegun Obasanjo and Umaru Yar’Adua.
The petition alleged that the earlier arrangement resulted in operational difficulties, litigation and substantial compensation paid by the Federal Government.
The lawmakers said they would establish whether the necessary approvals and statutory procedures were followed before the latest agreement was executed.
Specifically, the committee wants to determine whether presidential approval was obtained, whether the Public Procurement Act was complied with and whether the National Assembly was duly consulted where required.
Beyond the NIOMCO transaction, the committee is investigating alleged procurement breaches by the Ministry of Steel Development in the award of contracts, including the technical and financial audit of Ajaokuta Steel Company and the digitisation of its archives.
The lawmakers are also examining allegations that the ministry awarded contracts on behalf of its agencies and parastatals in breach of Sections 15 and 16 of the Public Procurement Act.
Another issue under investigation is the alleged failure to award budgeted contracts in accordance with the provisions and timelines prescribed by the law.
Gimba said the investigation was aimed at establishing compliance, protecting public funds and ensuring value for money.
The committee consequently gave the minister seven days from receipt of the letter to submit certified true copies of documents relating to the transactions and contracts under investigation.
Among the documents demanded on the NIOMCO-Premium Steel agreement are the sub-lease and operation agreement, Bureau of Public Procurement Certificate of No Objection, Federal Executive Council approval and evidence of presidential or National Assembly concurrence.
The committee also requested relevant memoranda, legal opinions and correspondence concerning the transaction.
For the Ajaokuta technical and financial audit, the lawmakers demanded procurement plans, approvals, budgetary provisions, bidding documents, bid-opening records, technical and financial evaluation reports, Tenders Board minutes and approvals.
They also requested the letter of award, executed contract, details of the contractor, BPP Certificate of No Objection and evidence of payment.
Similar documents were demanded concerning the digitisation of Ajaokuta Steel Company archives, including procurement and bidding records, evaluation reports, Tenders Board approval, executed contract, scope of work and project status report.
The committee further demanded a comprehensive list of contracts awarded by the ministry on behalf of its agencies and parastatals from 2024 to date.
The list is expected to include project titles, contractors’ names and addresses, RC numbers, contact details, contract sums and project status.
The committee also requested legal justification for the ministry acting as a procuring entity, alongside procurement files showing compliance with the Public Procurement Act.
Gimba further demanded administrative files, internal memoranda and minutes of meetings relating to the allegations, as well as evidence that contract awards were published on the websites of the BPP and the ministry.
The minister was also directed to submit a formal written response addressing each allegation.
The committee warned that failure to comply within seven days could trigger its constitutional powers to summon the minister and relevant officials and compel the production of the requested documents.
The lawmakers said the ministry’s cooperation was expected in the interest of transparency, accountability and good governance in the steel sector.
