All Africa reported that vice president of Nigeria Mr Mohammed Namadi Sambo's meeting with the Global Steel Holdings Limited over the Ajaokuta Steel Company and Nigerian Iron Ore Mining Company at Itakpe failed to resolve the lingering crises trailing the two companies.

The meeting, which took place at the Aguda residence of the Vice President, was intended to examine government's position on an arbitration with the investor, which has as a subsidiary Global Infrastructure Nig Limited that sought for arbitration in London on the Ajaokuta and Itakpe over the share purchase and concession agreement.

Mr Sambo dismissed options provided by the investor over a negotiated settlement out of arbitration agreement, insisting that government would pursue its position. He also observed that government would explore the possibility of recovering its lost assets as was allegedly stripped by the company in the Ajaokuta.

He also directed that a committee to be chaired by the minister of justice and Attorney General of the Federation, Ministers of Mines, Labour and Finance and the Director General of Bureau of Public Enterprises and the Chairman of the Interim Management Committee be set up.

He directed the committee to come up with a position of government before the date of the resumption of the arbitration exercise which expires on September 30th 2011.

The committee has the Legal Adviser of the BPE as its Secretary and has two weeks to make recommendations to enable government come up with its own position on the matter.

Mr Sambo noted that there can be no complete development without the participation of the iron and steel sector in the economy. He expressed concern that despite injection of huge resources into the sector, no effort is being made to resolve the crisis to enable the companies contribute to wealth and job creation.

He lamented that the country has invested huge sum of money to provide industries that would create wealth and provide jobs, but due to poor management, they were transferred to the private sector, yet the private sector has not shown commitment.

(Sourced from www.allafrica.com)