Dele Alake, Minister of Solid Minerals, announced that two lithium factories in Nigeria are set to commence operations in Q2 of 2025, during the BusinessDay Solid Minerals Conference. The factories, which will be based in Abuja with a $700m investment and Nasarawa with a $600m investment, are expected to generate 27,000 jobs in the mining sector.

Alake highlighted the government’s initiatives to regulate the mining industry, including efforts to convert illegal miners into legitimate operations. Over the past year, more than 250 cooperatives have been established, with around 50 new cooperatives being formed monthly to curtail illegal mining activities.

He emphasized the success of Nigeria’s Community Development Agreement (CDA), which has attracted attention from other African nations like South Africa. This model, implemented by the current administration, aims to strengthen benefits for host communities.

Discussing the Nigeria Mining Company (NMC), Alake shared that NMC will be a key investment vehicle in the solid minerals sector, with a structure designed to ensure effective management, granting 25% stake to Nigerians, 25% to the Federal Government, and 50% to the private sector.

Alake also mentioned the considerable budget approved for the Ministry of Solid Minerals in 2025, stating that Nigeria aims to reduce dependency on imports and enhance local production. He reaffirmed Nigeria’s commitment to strengthening its place in the African minerals market and ensuring only investments with local value addition are licensed.

The establishment of two lithium factories in Nigeria, set for commissioning in 2025, along with active measures to regulate illegal mining and promote local investment, signals a significant advance in the country’s solid minerals sector. The initiatives led by Dele Alake aim not only to boost employment but also enhance local community benefits through innovative policies.

Original Source: businessday.ng

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