Global Steel, associated with the Indian Mittal family, had acquired rights to the entire Nigerian state steel industry between 2004 and 2007 through five major concessions and share purchase contracts. The deal also included access to Nigeria’s iron ore reserves and the central rail network.
But in 2008, the government of the late Umaru Yar’Adua terminated the contracts. In the same year, Global Steel applied for arbitration to the International Chamber of Commerce, Court of Arbitration in Paris.
Between 2011 and 2020, Global Steel and the Nigerian government made several settlement attempts, but they failed.
Nigeria’s Attorney General and Justice Minister Abubakar Malami, who led the negotiations, said the government had succeeded in achieving a 91% haircut on the original claims of $5.258 billion.
“I pay tribute to President (Muhammadu) Buhari for his dedication to solving this problem and wrestling back a crown jewel of our national industrialization plans, rather than leaving the pursuit to the future government,” he said.