Major Shake-Up in Nigeria’s Mining Sector: A Scoop on Licence Crackdowns

how’s it going? I’ve got a bit of juicy gossip straight from Nigeria’s mining world for you today. It looks like there’s been a big shake-up with a whole lot of unpaid bills causing a stir. The folks at Nigeria’s Ministry of Solid Minerals Development have decided enough is enough, and they’ve gone ahead and cancelled a whopping 1,633 mineral titles. That’s got to sting a bit, hasn’t it?

The main man at the ministry, Dr Oladele Alake, had a chinwag with journalists on Tuesday in Abuja to share the news. And here’s something to chew on: the number of licences they’ve taken away this year is actually fewer than the massive 3,402 they nabbed towards the end of last year. Looks like a few companies have been a bit lax with their pocket change, especially when it comes to their yearly service fees.

So, here’s the lowdown from the minister himself. The Nigerian Minerals and Mining Act from 2007 lays it all out in black and white: mining operators have got to cough up a bit of cash every year. But it seems some of these mining outfits, who are probably making bank from their operations, suddenly get a bit forgetful when the bill lands on their doorstep.

And Alake wasn’t shy about his views. He called it downright wrong for the companies that are coining it to try and wriggle out of their financial obligations. We’re not talking big bucks here, either. It’s just N1500 per cadastral unit for the little guys, and they can only have up to 200 units. The bigger fish pay a little more, but even then, it’s a mere pittance compared to the fortunes they’re digging up.

But hey, the law’s the law. There’s a clause in the Act that gives you a 30-day grace period to sort out your dues or face losing your licence, and that’s exactly what’s happened to a stack of operators. They were all given a fair warning, but only a few stepped up to the plate. Now, Dr Alake and his team are left with no choice but to revoke those 1,633 licences.

Just so we’re all clear, if you’re holding one of those cancelled licences, it’s time to pack up your gear and vamoose from your mining spot because there will be consequences. And that’s the scoop from the world of minerals and mines in Nigeria. Pretty wild to think a bunch of rocks and dirt can cause such a hubbub, right?