Nigeria and Saudi Arabia Form Partnership to Boost Mining Sector
Nigeria and the Kingdom of Saudi Arabia have convened to strengthen their collaboration in order to enhance the development of solid minerals, as the global energy landscape shifts towards cleaner energy sources.
Dr. Dele Alake, the Minister of Solid Minerals Development, and his Saudi Arabian counterpart, Bandar AlKhorayef, led delegations from both countries in a bilateral meeting on the sidelines of the Future Minerals Forum (FMF) in Riyadh, Saudi Arabia. The objective of the meeting was to discuss the need for a strategic partnership to facilitate the exploration and extraction of critical minerals, which are abundant in Nigeria.
During the meeting, Dr. Alake emphasized the importance of attracting investments in the exploration, extraction, processing, and local value addition of solid minerals. He also highlighted the desire to collaborate with nations like Saudi Arabia to maximize the economic and infrastructural benefits of Nigeria’s natural resources.
Furthermore, Dr. Alake appealed for investments in local value addition, including the processing of solid minerals and the establishment of factories in Nigeria. He stressed that these initiatives would create employment opportunities and stimulate economic growth.
Dr. Alake also underscored Nigeria’s commitment to providing incentives for foreign investors, such as the repatriation of profits, tax waivers on imported mining equipment, and an improved security architecture to safeguard mining areas.
In response, Mr. AlKhorayef expressed Saudi Arabia’s support for Nigeria’s efforts to diversify its economy through the development of the mining sector. Both countries agreed to establish a joint technical committee to oversee their partnership and create a detailed action plan with specific timelines to advance the development of the mining sector.
The Nigerian delegation included prominent officials from the Solid Minerals Development Fund (SMDF), the Mining Cadastral Office (MCO), the Nigeria Geological Survey Agency (NGSA), and the Investments Promotion and Mineral Trade (IPMT) department, while the Kingdom of Saudi Arabia was represented by the Minister of Industry and Mineral Resources, the Vice-Minister of Mining Affairs, and other government officials.
The collaboration between Nigeria and Saudi Arabia in the mining sector holds great promise for driving economic growth, creating employment opportunities, and fostering sustainable development in Nigeria. This partnership represents a significant step towards maximising the potential of the mining industry in Nigeria.
This initiative is a clear indication of the commitment of both countries to fostering sustainable economic growth and development through strategic partnerships. It is expected that the collaboration between Nigeria and Saudi Arabia will lead to the exploration and extraction of solid minerals, the establishment of processing facilities, and the creation of employment opportunities in Nigeria.
The joint technical committee will play a critical role in steering the partnership between Nigeria and Saudi Arabia and ensuring that the action plan is effectively implemented within the specified timelines. The collaboration is also expected to enhance Nigeria’s capacity to develop its mining sector and contribute to the country’s economic growth and transformation.
