British Steel is increasing production after securing one of its largest ever export orders – a £70-million contract for port redevelopments in Nigeria.
- The agreement, with Hitech Construction Africa Ltd, will see British Steel supply 120,000 tonnes of steel to help modernise the Tin Can Island and Lagos Apapa port complexes
- It is one of the company’s largest orders for billet – semi-finished steel which will be used for construction materials – and its largest order backed by UK Export Finance
- To meet demand, the company is increasing steel production in Scunthorpe
British Steel CEO Allan Bell said: “This is a record-breaking contract for British Steel and a major boost to our 4,000 employees and many more people in our supply chains.
“After government intervention last April, everyone at British Steel has worked hard to stabilise the company. This deal represents us moving from stabilisation to building long-term sustainability for the business.
“As one of the largest ever orders for billet in the history of this company, it marks a tremendous vote of confidence in British Steel and UK manufacturing. And as the biggest order we have ever secured with UK Export Finance, it demonstrates how we are working with the UK Government to meet the global demand for our products.
“We thank the government for its support and look forward to working with Hitech Construction Africa Ltd on this transformative project.”
The development British Steel is supplying into is a flagship initiative designed to modernise Nigeria’s port infrastructure, boost operational efficiency, and expand the country’s trade capacity.
Today’s announcement was made in a special ceremony in London and follows the signing of a Memorandum of Understanding last year. It underscores the continued strengthening of UK-Nigeria trade relations and the role of private sector partnerships in delivering vital infrastructure.
The billets British Steel will supply are of a 140mm rebar type grade with deliveries starting this Spring and continuing over the next 3 years.
Craig Harvey, British Steel’s Commercial Director for Semi-Finished Products, said: “Our capacity and capability ensure we offer a unique solution to the developers of major infrastructure projects, and this contract underlines our world-wide reputation for delivering market-leading products with first class logistics.
“We’re delighted to have secured this order and look forward to supporting this exciting development.”
Peter Kyle, Business and Trade Secretary, said: “Hot on the heels of our landmark Steel Strategy, this is a major win for British Steel made possible by UK Export Finance which is testament to the quality of UK-made steel and the booming UK-Nigeria relationship.
“Through our new Strategy we’re backing British steelmakers for long-term success at home and abroad, and this contract will reinforce British Steel’s world-class expertise while supporting jobs and growth in Scunthorpe.”
Tim Reid, CEO at UK Export Finance, said: "This deal represents a milestone for UK-Nigeria trade relations and demonstrates the full capacity of UK Export Finance to unlock transformational opportunities for British businesses, while supporting sustainable economic growth in key markets.
“With over £200-million feeding back to British companies, including one of the largest steel billet contracts in British Steel's history and our new Memorandum of Understanding, UKEF are laying the foundations for a deeper, long-term relationship with Nigeria, that will open doors for British exporters across the entire region."
Ronald Chagoury Jr., Vice-Chairman of Hitech Construction Africa Limited, said: “Tin Can Island and Lagos Apapa ports are currently at a critical stage, as they have not undergone any significant rehabilitation since they were originally built in the mid-to-late 1900s. Our objective today is to give them a new life for at least the next 50 years, while significantly increasing their capacity and enabling them to accommodate larger vessels, faster turnaround times, and higher volumes of trade, positioning Nigeria as the regional leader in maritime logistics and supporting the country in unlocking its trillion-dollar economy.
“Steel will be a central element in ensuring the durability and long-term performance required for infrastructure of this scale. Working with British Steel brings together world-class manufacturing capability with Hitech’s experience delivering complex, large-scale infrastructure projects, creating a strong partnership for the successful delivery of this development.”
The Nigeria contract is the second major export order British Steel has secured in as many months. In February, the company announced a new order worth tens of millions of pounds for a major high-speed electric railway in Türkiye.