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Kogi hopes to have $US8 million
locked away by the end of the year
to complete the Agbaja BFS

my, due to never investing in these types
of projects.”
There is an abundant supply of coal
in Nigeria for Kogi to consider building
a coal-fired power station to support its
steel billet plant, but that is an unlikely
option.
is also working closely with the Nigerian “Thank goodness there is no need to
Government on key aspects of what is do that given we have one the country’s
shaping as a project of significance to largest domestic gas pipelines going
the country. straight across or adjacent to our tenure.
Power is one of the greatest costs as- That is why I am working on this project, I
sociated with steel projects and Turvey see this as a point in time for their econo-
is hoping Kogi can secure some interna- my. We have discovered the iron ore and
tionally competitive pricing for energy to I don’t believe that the country should
pave the way to steel development at the ever export that iron ore as it is not high
lower end of the cost curve. grade,” Turvey said.
“What is unique about this project is “This material I see as a risk to provide
that there is no steel production in Nige- more lower-grade iron ore because you
ria and it is a power-positive country. Ni- are actually beholden to discounting to
geria tends to export most of their power the Chinese and that is not a good place
through oil and gas and LNG and their to be in. Turning it into steel you can
domestic utilisation of energy is low,” Tur- match what is the current high price; this
vey said. is an import replacement project.”
“That is mainly because they don’t A major European fund has endorsed
have an industrialised domestic econo- – Mark Andrews Kogi’s Agbaja cast steel project in Nigeria

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