The Minister of Solid Minerals Development, Dr. Dele Alake, has voiced his discontent over the drastic cut of his ministry’s proposed budget from N531 billion to N9 billion. He characterised this reduction as unacceptable while seeking an increase, though he did not specify the desired amount. Alake has formally protested to the National Assembly, asserting that the current allocation is insufficient to unlock Nigeria’s mining potential and that such limitations would stifle potential investments vital for exploration and growth in the sector. Furthermore, he highlighted that the 2024 revenue projections exceeded expectations, generating N38 billion, thus demonstrating the capacity for growth in the mining sector despite the minimal budgetary support.

The significant reduction of Nigeria’s mining sector budget poses a serious challenge to its economic diversification efforts, as it heavily relies on oil revenue. The proposed cut could undermine ongoing reforms and achievements within the mining industry. Recent figures indicated that reforms helped create 45,000 jobs and exceeded revenue expectations. The government, represented by the Minister and the Joint National Assembly Committee on Solid Minerals, expresses concerns about the implications of such a minimal budget and its impact on future investments and sustainable economic growth.

The drastic cut in the mining sector budget has spurred considerable backlash from the Minister and legislative committees, who argue that it threatens the future potential of Nigeria’s solid minerals industry. With calls for a budget increase, the focus remains on ensuring significant investments for exploration to sustain economic diversification beyond oil reliance. Concerns about job creation and revenue generation continue to be pivotal in discussions surrounding the budget allocation for the mining sector.

Original Source: 21stcenturychronicle.com

The post Minister Decries Cutting Nigeria’s Mining Sector Budget to N9 Billion first appeared on Nigerian Mining News.

In November, Nigeria’s government introduced amendments to the Nigeria Minerals and Mining Act (NMMA), originally established in 2007, to invigorate the nation’s stagnant mining industry, which currently contributes a mere 0.3% to GDP. The revisions aim to decentralise authority over mineral rights, shifting responsibility from the federal government to local authorities, thereby empowering communities to combat illegal mining and bolster legal operations. The changes are part of a broader strategy to diversify the economy away from oil dependency.

Historically, Nigeria’s mining sector thrived pre-1970s before the oil boom overshadowed it. In the wake of the civil war, many mines were abandoned, and despite the 2007 law aimed at attracting foreign investment, illegal mining has proliferated, particularly in states such as Kaduna and Zamfara, impacting local communities and the environment. The ongoing trade of illegally mined gold for arms and safety concerns surrounding mining sites exacerbate these challenges.

The amended NMMA will enable states to generate more revenue from legal mining, thus incentivising local governance and compliance. However, challenges such as inadequate transport infrastructure, security issues, and the overshadowing presence of the oil sector still hinder mining’s growth potential. As the bill awaits parliamentary approval, its potential to effect transformational change remains in question, primarily due to Nigeria’s deeper structural economic issues.

Nigeria’s mining sector has been largely stagnant due to an outdated mining law that hasn’t been revised since 2007. With current mining output contributing only 0.3% to GDP and the nation heavily reliant on imports for minerals, there is an urgent need for reform. As the oil and gas industry dominates the economic landscape, the government strives to rebalance its economy by revitalising mining through significant legal amendments that aim to devolve regulatory power to local entities and combat widespread illegal mining.

The proposed changes to the Nigeria Minerals and Mining Act reflect a critical effort to stimulate the mining sector by empowering local governments and communities. As new responsibilities are transferred from the federal government to state and local levels, the hope is to address illegal mining and cultivate legitimate sector growth. Nonetheless, substantial challenges, including security and infrastructure, may continue to impede significant progress. Therefore, while the amendments are pivotal, they alone may not transform the mining industry without additional institutional and economic reforms.

Original Source: african.business

The post Nigeria’s New Mining Law: A Strategic Shift to Revitalise the Sector first appeared on Nigerian Mining News.

Since President Bola Tinubu took office on May 29, 2023, significant efforts have been made to enhance Nigeria’s mining sector as part of his wider strategy to diversify the economy. Acknowledging Nigeria’s wealth in critical minerals vital for global energy transition, Tinubu’s administration faces the challenge that despite possessing 44 commercially viable minerals, the sector has historically underperformed in contributing to GDP.

Minister of Solid Minerals Development, Dele Alake, declared a state of emergency upon his appointment. He linked illegal mining operations to funding for banditry, hampering revenue potential. In response, the government implemented a combination of law enforcement and cooperative incentives. A dedicated security unit known as the Mining Marshals was created to ensure protection and legality in mining activities, resulting in the arrest of over 300 illegal miners. Additionally, 250 cooperatives were initiated to formalise artisanal miners’ operations.

Key policies introduced include the Value Addition Policy, designed to require mining companies to present value-adding initiatives before obtaining licences. This is supported by the inauguration of a state-of-the-art laboratory for geochemical analysis, intended to improve exploration initiatives. Recent developments include a lithium processing laboratory and a tin processing plant, signalling progress in mineral processing capabilities.

July 2024 saw the introduction of increased rates and charges for mining activities, aimed at enhancing the sector’s economic contribution and improving infrastructure. The revocation of 924 dormant mining licences aims to clean the industry and boost foreign investment. While NAITI reports GDP contributions increased from N1.66 trillion in 2022 to N1.76 trillion in 2023, there is consensus that further improvements depend on addressing state interference and over-regulation.

The government’s decision to lift the mining exploration ban in Zamfara is also seen as a step towards revenue recovery. Stakeholders advocate for mandatory local content usage in oil and gas industries to enhance national revenue further. Upcoming mining conferences underline the need for technological advancements and collaborative efforts to reinforce the sector’s growth.

While optimism surrounds Tinubu’s reforms, stakeholders emphasise the importance of consistent and actionable policies in achieving sustainable progress. The minister mentioned plans for further reforms in 2025 to build on 2024’s achievements.

Nigeria’s mining sector, endowed with 44 commercially viable minerals, has historically played a minimal role in national GDP despite its potential. President Bola Tinubu’s administration has initiated efforts to revitalise the sector, focusing on addressing illegal mining’s impact on security and economic performance. This sector transformation aims to pivot Nigeria’s economy away from a mono-cultural reliance on oil, leveraging solid minerals for sustainable growth and stability.

The revitalisation of Nigeria’s mining sector under President Tinubu aims to elevate its economic contribution by addressing illegal activities and promoting value addition. Key strategies involve both coercive measures to enforce legality and initiatives to formalise artisanal operations. Despite initial progress reflected in GDP growth, overcoming structural challenges and ensuring effective policy implementation will be crucial for long-term success and development in the sector.

Original Source: nannews.ng

The post Transforming Nigeria’s Mining Sector: Progress Under Tinubu’s Administration first appeared on Nigerian Mining News.

The Nigerian Ministry of Solid Minerals Development has announced the launch of a new TV drama series titled ‘Hidden Riches’. This series aims to explore the intricacies and potential of Nigeria’s mining industry, showcasing the lives of miners, politicians, activists, and everyday Nigerians as they confront various challenges. The narrative intends to shed light on how solid minerals can drive sustainable economic growth in Nigeria. Featuring prominent actors like Sydney Diala and Lara Owoeye-Wise, it will air weekly from January 25, 2025, on NTA, at 8.05pm.

The initiative of the ‘Hidden Riches’ drama series stems from the Nigerian government’s push to highlight the importance of the mining sector in economic development. The drama aims to engage the public and create awareness regarding the vast mineral resources in Nigeria. As the country looks to diversify its economy, solid minerals are seen as pivotal in achieving sustainable growth and resource management.

The debut of ‘Hidden Riches’ represents a significant step in showcasing Nigeria’s mining potential and its role in economic transformation. By intertwining the stories of diverse characters, the series aims to raise awareness about mining opportunities and encourage public participation in resource management.

Original Source: blueprint.ng

The post Nigeria’s ‘Hidden Riches’ Drama Series Set to Highlight Mining Sector first appeared on Nigerian Mining News.

A new TV drama series titled “Hidden Riches” will premiere on January 25, focusing on the complexities and potential of Nigeria’s mining industry. Initiated by the Ministry of Solid Minerals Development, the series features a talented cast, including Sydney Diala and Lara Owoeye-Wise. It aims to depict the interplay of politics, power, and ambition entwined with the country’s rich mineral resources, showcasing the challenges and opportunities faced by miners, activists, and everyday citizens. The series is expected to raise awareness about the opportunities within the solid minerals sector and encourage participation in sustainable economic growth.

The launch of “Hidden Riches” is part of the Nigerian government’s strategy to leverage its vast mineral wealth for economic development. By highlighting the intricacies of the mining sector, the series seeks to inform viewers of its potential to contribute to Nigeria’s economy sustainably. This initiative aligns with ongoing efforts to diversify the economy under President Tinubu’s Renewed Hope Agenda, emphasising solid minerals as a critical pathway for transformation and resource management.

“Hidden Riches” represents a significant cultural and educational initiative, aiming to inform not only about Nigeria’s mining issues but also about the economic benefits that can arise from responsible mining. By engaging a broad audience through storytelling, the series aspires to inspire participation in the industry and highlight its role in national development.

Original Source: leadership.ng

The post Nigeria’s Mining Sector Explored in New TV Series “Hidden Riches” first appeared on Nigerian Mining News.

In Nasarawa, Nigeria, 6-year-old Juliet Samaniya, alongside many other children, is forced to work in illegal lithium mines instead of attending school. The global rise in demand for lithium, essential for batteries in clean energy initiatives, has worsened child labour conditions. Children, often paid poorly, undertake dangerous tasks in hazardous environments to help their families survive. The Nigerian government has laws against child labour, but enforcement remains weak, leading to widespread exploitation, particularly in unlicensed mines that escape scrutiny. Many children are trapped in this cycle of poverty due to a lack of proper education and economic opportunities, while illegal mining benefitting Chinese companies continues unchecked. Activists call for urgent reforms to address human rights abuses and protect vulnerable children from exploitation in mining operations.

Nigeria is experiencing a lithium boom due to its rich mineral resources, yet much of this activity is driven by illegal mining, predominantly involving child labour. Weak enforcement of existing laws prohibiting child labour and a maximum of poverty persist, particularly in rural communities. As global lithium demand increases, these illegal operations exploit vulnerable populations, primarily children, who are often forced to work instead of receiving an education. This situation poses significant ramifications for child welfare and the broader societal implications of such systemic exploitation.

The situation in Nasarawa highlights the urgent need for effective enforcement of child labour laws in Nigeria, as a growing demand for lithium compounds the challenges faced by children. Families are caught in poverty traps that force them to rely on their children’s labour, perpetuating a cycle of exploitation. Without meaningful reform and stronger regulation of mining practices, the well-being of many children remains at risk, signalling a pressing need for international attention and accountability in the lithium supply chain.

Original Source: www.seattletimes.com

The post Child Labour in Nigeria’s Illegal Lithium Mines: A Growing Concern first appeared on Nigerian Mining News.

Nigeria has reinstated mining operations in Zamfara state following a five-year ban due to improved security conditions. The ban was initially imposed in 2019 after persistent bandit attacks in the region. Mining Minister Dele Alake remarked that enhanced security measures have reduced insecurity levels, enabling the mining sector to contribute more significantly to the national economy. Zamfara is rich in gold, lithium, and copper, which, once exploited legally, could augment Nigeria’s revenue.

Zamfara state, located in northwestern Nigeria, has vast natural resources, including gold, lithium, and copper. The state faced significant challenges due to insecurity from banditry, prompting the government to impose a mining ban in 2019. As Nigeria seeks to diversify its economy—currently heavily reliant on oil—it aims to bolster its mining sector, which contributes less than 1% to the GDP. Recent reforms and international collaborations aim to attract investments and enhance productivity in this sector.

The lifting of the mining ban in Zamfara represents a strategic move by the Nigerian government to revitalise its mining sector. With improved security and ongoing international partnerships, Nigeria hopes to increase its economic contributions from mining and reduce its over-dependence on oil revenues.

Original Source: www.kitco.com

The post Nigeria Restarts Mining in Zamfara State Following Improved Security first appeared on Nigerian Mining News.

Timadix Geomin Consult Ltd has publicly refuted allegations of illegal mining raised by the Nasarawa State Government. The company, led by Managing Director Tim Eldon, claims that the Commissioner of Environment unlawfully issued mining licences to Chinese nationals on land where Timadix already holds valid permits. Eldon affirmed that the company has met all legal requirements, securing necessary licences from the Federal Ministry of Solid Minerals Development and local authorities, emphasising compliance with federal mining regulations.

In a statement released on December 22, 2024, Eldon stated that the Nasarawa State Government’s actions violate federal law, which grants mining jurisdiction solely to the federal government. He accused state officials of spreading misinformation to damage the company’s reputation while launching a call for transparency by releasing its mining licences, including the Small-Scale Mining License and Exploration License. Timadix insists that these irregular activities by the state government not only disrupt their operations but also harm local communities and discourage legitimate investments.

The company reiterated its commitment to lawful operations, stating it is up to date on all mining-related taxes and fees. With concerns over the Nasarawa Government’s preference for foreign interests at the expense of local firms, Eldon urged the federal government to promote local mining enterprises to bolster Nigeria’s economy. He emphasised the necessity of lawful and transparent foreign investment while condemning corrupt practices that exploit local resources. Timadix has requested immediate intervention from federal authorities to address the situation and restore legality in the mining sector, reaffirming its dedication to benefiting host communities and the nation.

Timadix Geomin Consult Ltd is a fully indigenous mining company in Nigeria, asserting its legal right to operate within the Nasarawa State region. The company’s response comes amid emerging allegations from the state government regarding illegal mining activities. The context includes concerns over foreign investments in Nigeria’s mining sector and the implications of local governance on resource management, transparency, and community impact.

Timadix Geomin Consult Ltd stands firm in its adherence to legal mining practices in Nigeria, countering allegations from the Nasarawa State Government with evidence of compliance and legitimate licensing. The company highlights the importance of safeguarding local interests against potentially corrupt foreign influences and calls for federal support to ensure a fair and lawful mining environment that benefits Nigeria’s economy and communities.

Original Source: dailypost.ng

The post Timadix Publicly Rejects Nasarawa Government’s Illegal Mining Allegations first appeared on Nigerian Mining News.

The Nigerian government has officially lifted its 2019 ban on mining in Zamfara State, citing improved security conditions. Minister Dele Alake has emphasised the state’s significant mineral wealth, including gold, lithium, and copper, and the government’s commitment to regulating mining to prevent illegal operations. This policy shift is expected to increase national revenue while promoting sustainable growth in the mining sector.

In 2019, a ban was imposed on mining activities in Zamfara to address rampant insecurity and illegal mining. Following notable improvements in the state’s security situation, the government decided to lift the ban, recognising Zamfara’s potential for rich mineral resources, which can significantly contribute to the economy. The renewed focus on regulation aims to curb illegal mining, enhance revenue collection, and attract investment in the sector.

The lifting of the mining ban in Zamfara is a crucial development for Nigeria’s economy. Not only does it aim to control illegal mining, but it also seeks to unlock the state’s mineral resources for national gain. The government’s additional plans for 2025 further indicate a commitment to creating a more sustainable and investor-friendly mining environment.

Original Source: nigerianbulletin.com

The post Nigerian Government Lifts Zamfara Mining Ban to Harness Economic Potential first appeared on Nigerian Mining News.

The Nigerian Government has officially lifted the five-year prohibition on mining operations in Zamfara State. Minister of Solid Minerals Development, Dele Alake, announced this decision, attributing it to substantial improvements in the state’s security situation. With Zamfara rich in gold, lithium, and copper, the government aims to enhance economic activities that had been negatively impacted by illegal mining operations during the ban. Alake noted the enhanced security efforts have led to a decline in violence, enabling a safer environment for mining. Moreover, he emphasised that the new measures will allow for improved regulation and oversight, ensuring that the nation benefits maximally from Zamfara’s mineral wealth. The Minister also reassured that a recently discussed agreement with France focused solely on training and capacity building for local mining experts.

The ban on mining in Zamfara was first imposed in 2019 due to escalating security threats from banditry and illegal mining activities that led to violence and loss of resources. Zamfara State is noted for its rich mineral deposits, making the lifting of the ban significant for Nigeria’s economy. The government aims to balance resource extraction with safety and regulation following several improvements in security measures undertaken by security agencies.

The lifting of the mining ban in Zamfara marks a crucial step in revitalising the state’s economy and harnessing its mineral resources. With improved security and a focus on regulating the mining sector, Nigeria is poised to benefit economically. The government’s assurance regarding international agreements further underscores its commitment to developing the mining industry responsibly.

Original Source: newscentral.africa

The post Nigeria Lifts Five-Year Ban on Mining in Zamfara State After Security Improvements first appeared on Nigerian Mining News.