Federal Government Set to Revoke More Mining Licences in 2024, as Declared by Minister Alake
The announcement made by the Minister of Solid Minerals Development, Dr. Dele Alake, indicates that the Federal Government is poised to revoke additional mining licences from defaulting individuals this year. This disclosure was made by Dr. Alake as part of his New Year message to the citizens of Nigeria in Lagos.
It is worth noting that in 2023, the Federal Government had already invalidated 1,633 mining licences from non-compliant individuals who neglected to remit their annual service fees. In light of this, the minister reiterated that the government is now placing emphasis on adding value for potential investors in the mining sector. Dr. Alake emphasized that the era of merely extracting Nigeria’s resources without value addition has ended. He urged for concrete plans to either process raw materials into finished goods or to contribute to the development of communities hosting mining operations before new operators can obtain licenses.
The minister underscored the significance of this approach in ensuring that the mining sector becomes a driving force for industrialization and a significant source of employment for the nation’s youth. Furthermore, he pointed out that strategies are being implemented to address security challenges in mining areas, particularly illegal mining activities. Dr. Alake highlighted the government’s efforts to improve the security framework in these regions, with the goal of curbing the exploitation of Nigeria’s mineral wealth.
Additionally, the minister conveyed his confidence that the mining sector will make substantial contributions to the country’s Gross Domestic Product (GDP) this year. He emphasized that this aligns with President Bola Tinubu’s vision of economic diversification through a renewed focus on solid minerals. Dr. Alake also indicated that the reforms being rolled out in the sector are anticipated to yield significant outcomes in the new year.
Moreover, he assured the public that the Ministry of Solid Minerals Development is devoted to building on the reforms initiated through their Seven-Point Agenda, which was initiated four months ago. Dr. Alake also guaranteed that a more effective governance structure will be established to transform the previously opaque nature of the mining sector.
The message delivered by Minister Alake signifies the government’s proactive and transformative stance towards the mining sector in 2024. The evident goal is to promote transparency, enhance value addition, and stimulate economic growth through the sustainable exploration and exploitation of Nigeria’s mineral resources. With this in mind, all stakeholders in the mining industry should take heed of this announcement and be prepared to align with these initiatives going forward.
