Nigeria has resumed mining in Zamfara State after a five-year ban, citing improved security. The region holds rich mineral deposits. Recent reforms aim to attract investment and diversify the economy.
Nigeria has officially lifted a five-year ban on mining in Zamfara State. Minister of Solid Minerals Development, Dele Alake, announced that improved security has allowed mining exploration to resume in this northwestern region, which hosts valuable resources such as gold, lithium, and copper.
The ban was first imposed in 2019 due to significant security challenges, including kidnappings and theft. Alake stated that by reviving this sector, Nigeria aims to bolster its economy, encouraging further investment in mining.
The government has introduced several reforms aimed at revitalizing mining activities. These include revoking unused exploration licenses and offering investors a substantial 75% stake in a new state-owned mining company. Notably, measures to limit the export of unprocessed minerals are also being put in place to enhance local processing and value addition.
The resumption of mining in Zamfara presents a promising opportunity for economic diversification in Nigeria, which has traditionally relied heavily on oil. The government is under pressure to make these reforms yield results. Stakeholders in the mining sector are cautiously optimistic about the changes and the potential for growth amidst ongoing security concerns in the region.
In summary, Nigeria has lifted a ban on mining in Zamfara State, driven by improved security conditions. With significant mineral deposits and new reforms, the government aims to attract investment and diversify its economy. However, the ongoing security situation remains a pivotal concern as mining activities restart.
Original Source: energycapitalpower.com