Anambra Government Moves to Privatize Revitalized Kaolin Factory for Full Commercial Operations

Anambra Government Moves to Privatize Revitalized Kaolin Factory for Full Commercial Operations

The Anambra State Government has unveiled its plan to privatize the long-dormant Kaolin Factory located in Ukpor, Nnewi South Local Government Area, marking a decisive step toward full-scale commercial production of the mineral resource. The move aims to harness the plant’s renewed potential following recent rehabilitation efforts by the state administration under Governor Chukwuma Charles Soludo.

This announcement came from the Commissioner for Information, Dr. Law Mefor, during a press briefing following the 8th Anambra State Executive Council (ANSEC) meeting held on Tuesday at the new Government House in Awka. According to Mefor, the decision to privatize the facility was prompted by a recent report presented to the council, which confirmed that past interventions had yielded substantial progress, thus making the plant commercially viable.

Why Privatization is on the Table

Mefor emphasized that handing the plant over to private investors would not only ensure optimal operation but also bring the facility in line with modern industrial standards. He explained that privatization would allow for professional management and attract additional capital necessary to scale production and broaden market reach.

This privatisation will allow for better management and full commercial utilisation of the Kaolin Factory, which has long been underutilised,” Mefor stated, adding that the new model aims to guarantee profitability, industrial competitiveness, and long-term sustainability.

The factory’s underutilization over the years had rendered it dormant despite the region’s rich kaolin deposits. However, the state government believes that with strategic private sector involvement, the factory can become a major revenue earner for the state and a source of employment for residents.

Background: The Factory’s Origins and Decline

Originally established by the Federal Government as a pilot industrial project, the Ukpor Kaolin Factory was designed to harness Anambra’s vast kaolin deposits. Kaolin, a fine white clay, is widely used in various sectors including ceramics, pharmaceuticals, cosmetics, paper manufacturing, agriculture, and even the production of light bulbs and toothpaste.

Despite its potential, the plant gradually fell into disuse. Years of neglect led to the deterioration of essential infrastructure and obsolescence of its machinery. With no maintenance or upgrades, the facility could no longer support production activities, and it eventually shut down, wasting not just state resources but also local opportunities for industrial development.

Reviving a Dormant Asset: Soludo’s Administration Steps In

Determined to resuscitate the facility, Governor Soludo’s administration initiated an extensive rehabilitation project through the Anambra State Solid Minerals Development Company Limited (ANSMDCL), led by Professor Charles Ofoegbu. The comprehensive overhaul aimed to restore functionality and enhance production capacity to meet the growing demand for kaolin in both local and international markets.

Key components of the rehabilitation include:

  • Refurbishment of old machinery

  • Acquisition of a state-of-the-art 3R (Three-Roller) mill from China

  • Installation of a high-capacity kaolin calciner (kiln plant)

  • Provision of a 300kva high-tension transformer

  • Procurement of a large-capacity backup generator for stable power supply

These improvements have positioned the facility to produce both industrial-grade and pharmaceutical-grade kaolin, with plans to utilize residual kaolin waste for fertilizer production—a move that would further diversify output and promote sustainable resource use.

Expanding the Economic Potential of Kaolin

The global demand for kaolin continues to rise, driven by its applications in key industries. By focusing on both industrial and pharmaceutical grades, the Anambra Kaolin Factory has the potential to tap into export markets and substitute costly imports with locally processed raw materials.

Moreover, the inclusion of fertilizer production from kaolin waste aligns with Nigeria’s push toward enhancing agricultural productivity, creating a cross-sectoral impact that could boost food security while improving soil health.

Security, Economic Growth, and Welfare in Focus

Apart from discussions about the Kaolin Factory, Dr. Mefor revealed that the Executive Council also addressed broader state issues including plans to enhance security, promote economic development, and improve the overall welfare of residents.

The council equally reviewed the forthcoming launch of the Anambra Country Club, a new recreational and hospitality facility situated within the recently inaugurated Solution Fun City. This facility, which was unveiled during President Bola Tinubu’s latest visit to Anambra, is expected to bolster tourism, leisure, and local investment opportunities in the state.

What Comes Next: Roadmap for Privatization

As Anambra pushes for the privatization of the revitalized Kaolin Factory, government officials are expected to roll out a transparent bidding process to attract reputable investors with experience in mining, manufacturing, or mineral processing. The privatization strategy is likely to involve public-private partnerships (PPPs), outright sale, or long-term lease agreements, depending on which model offers the best value for the state.

Stakeholders within the industrial and mining sectors have expressed optimism that private sector participation will fast-track Anambra’s emergence as a leading hub for mineral processing in Nigeria.

Conclusion: A New Dawn for Industrialization in Anambra

The Anambra Kaolin Factory’s journey from federal pilot project to abandoned site, and now to a fully upgraded facility ready for privatization, mirrors Nigeria’s broader challenge of converting dormant public assets into viable economic engines. The Soludo administration’s bold step to privatize the factory underscores a growing recognition that industrial revitalization requires not just government intervention, but also private capital, technical expertise, and competitive business models.

With Anambra’s abundant kaolin reserves and the newly refurbished infrastructure, the factory could soon become a cornerstone of the state’s industrial revival—creating jobs, attracting investment, and contributing significantly to GDP growth.

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