Get Guardian on GoogleEnergy and Metals Industries Limited (EMI) has presented details of a proposed $1.5 billion investment framework, mining exploration activities and a 300-megawatt power project in response to allegations of a $120 million fraud involving its co-founder, Dr Innocent Ozoemena Ezuma.
The company said the projects were developed under a longstanding investment partnership established in 2008 with foreign investors, arguing that the allegations against Ezuma could not be properly understood without examining the agreements and activities undertaken by the parties.
In a statement issued on November 3, 2026, EMI said the investment relationship began with a Memorandum of Understanding signed in Kyiv, Ukraine, on March 23, 2008, for the establishment of a Nigerian company to undertake mineral exploration, extraction, processing and industrial development. The agreement envisaged an investment portfolio of up to $1.5 billion, with the foreign investor expected to provide about 20 per cent through interest-free credits, while the balance would be raised from independent financial institutions.
The company said a subsequent corporate agreement signed on January 30, 2013, expanded the partnership to include a coal-fired power generation project at Itobe, Kogi State.
Providing details of the mining activities, EMI said it secured reconnaissance permits, exploration licences and mining leases for copper, gold, lead and zinc from the Federal Ministry of Mines and Steel Development. It said a mining lease granted in September 2014 would remain valid until September 2039.
The company disclosed that exploration work in Kogi State involved 57 boreholes covering 6,025 metres, 11 trenches spanning 970 metres and 78 test pits, alongside geological mapping and geophysical surveys. In Zamfara State, the exploration programme included geological mapping, 385 soil geochemical samples, geophysical surveys and trench investigations, with preliminary work producing an inferred gold resource estimate.
EMI said the exploration activities underwent technical reviews by SRK Exploration Services of the United Kingdom and CSA Global of Australia. It acknowledged, however, that a 2015 study identified further drilling, metallurgical testing, environmental assessments and full feasibility studies as necessary before a final investment decision could be made.
On the energy component, the company said its subsidiary, Itobe-1 Coal Power Limited, obtained a Nigerian Electricity Regulatory Commission licence for a proposed 300MW grid-connected coal-fired power plant. The licence became effective in December 2014 and was subsequently renewed until September 29, 2031.
EMI said the regulatory and technical milestones demonstrated that the investment relationship had progressed beyond the conceptual stage, rejecting media accounts suggesting that no meaningful project development had taken place.
The company also disputed the portrayal of the alleged $120 million loss as a straightforward case of personal indebtedness or misappropriation by Ezuma, insisting that the transactions should be assessed within the corporate and contractual framework of the partnership. It further addressed allegations of fund diversion to companies and individuals allegedly associated with the co-founder, including family members, saying such claims required verifiable financial evidence and examination of the commercial purpose of the transactions.
On references to the Jos Steel Mill, EMI said it led the transaction team responsible for acquiring the assets of the defunct Jos Steel Rolling Company Limited in 2005, before the investment partnership with the foreign investor was formalised in 2008. It said Zuma Steel West Africa Limited acquired the assets from the Federal Government through a court-supervised liquidation process guided by the Bureau of Public Enterprises.
The company argued that operational challenges, particularly unreliable and expensive electricity supply, should also be considered in assessing the progress and commercial realities of large-scale mining, steel and power projects in Nigeria.
On the legal dispute, EMI disclosed that it was a respondent in London Court of International Arbitration proceedings involving Tooley Property Company Limited, which resulted in one of five arbitral awards dated January 17, 2020.
The company said the awards were being challenged before the High Court of the Federal Capital Territory, Abuja, in Suit No. FCT/HC/CV/001/2020, on grounds including alleged illegality, misconduct and lack of jurisdiction. Separate applications seeking their recognition and enforcement were also filed in Suit Nos. FCT/HC/CV/1811 to 1815/2022, which EMI and its associates had opposed.
It maintained that the existence of arbitral proceedings and commercial disagreements should not automatically be interpreted as proof of criminal wrongdoing.
Regarding the Economic and Financial Crimes Commission’s investigation, EMI said it respected the agency’s mandate and that Ezuma remained willing to cooperate with lawful requests. The company added that Ezuma had not been convicted of any offence in connection with the allegations, citing the constitutional presumption of innocence under Section 36(5) of the 1999 Constitution.
EMI urged media organisations to consider the investment agreements, regulatory approvals and project records in reporting the dispute, while allowing the courts and relevant authorities to determine the issues before them.
