Revolutionising the Nigerian Economy through Solid Minerals

The Minister of Solid Minerals, Dele Alake, has recently unveiled plans for the Ministry to play a significant role in bolstering the Nigerian economy by an impressive 50%. This ambitious objective is closely linked to the Ministry’s efforts to attract Foreign Direct Investment to the country.

At the launch of the ‘Agenda for the Transformation of the Solid Minerals for International Competitiveness and Domestic Prosperity’ in Abuja, the Minister outlined a comprehensive seven-point agenda. This includes the establishment of the Nigerian Solid Minerals Corporation, Joint Ventures with Mining Multinationals, the development of Big Data on seven priority minerals and their deposits, as well as initiatives to regulate illegal miners and enhance mine security.

Mr. Alake also emphasized the importance of Nigeria asserting its presence in the mining sector in a manner similar to its strategic positioning in the petroleum industry. A new corporate entity, the Nigerian Solid Minerals Corporation, will be established to have subsidiaries focusing on key priority minerals, such as Gold, Coal, Limestone, Bitumen, Lead, Iron-ore, and Baryte. This will create new opportunities for partnerships with major multinational companies worldwide and secure significant Foreign Direct Investment for the mining sector.

The Ministry will also collaborate with the Nigerian financial system to facilitate investments in mining, addressing the reluctance to support mineral prospecting and mining. The abundance of valuable minerals available in Nigeria, including gold, manganese, bitumen, lithium, iron ore, and others, will be leveraged to attract both domestic and international investors.

In order to combat illegal mining and smuggling, the Ministry is introducing a security task force and mines policy. Illegal miners will be given a 30-day grace period to join a miners’ cooperative or seek alternative employment. After the specified grace period, strict enforcement of the law will be applied to anyone found on a mining site without proper authorization.

Furthermore, a strengthened security framework will be implemented in the solid minerals sector from October, including the Mine Police and Mines Surveillance Security Task Force. These measures will proactively address illegal mining while encouraging competent courts to prosecute cases against offenders.

Looking ahead, the Ministry has identified several factors that, if addressed, can contribute to the improvement and development of the sector. Key areas of focus include inefficient geo-data, weak implementation and enforcement of policies, poor environmental, safety, and health policies, unregulated artisanal mining, and lack of access to financing.

In conclusion, with the strategic initiatives outlined by the Ministry of Solid Minerals, Nigeria is poised to harness its abundant mineral resources and significantly enhance its economic position. The ambitious goal of contributing 50% to the country’s GDP is undoubtedly a challenge, but equally promising for the future of Nigeria’s economy.

Alaba Balogun,
Deputy Director of Press,
Ministry of Solid Minerals