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Nigeria’s mining sector has been largely stagnant due to an outdated mining law that hasn’t been revised since 2007.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.

At the Mines & Money Conference in the UK, Nigeria’s Minister of Solid Minerals Development, Dr Dele Alake, invited global investors to explore the nation’s rich mineral resources through its digital mining platforms. He highlighted the Nigerian Mineral Decision Support System (NMRDSS), the Electronic Mining Cadastral (EMC+), and the National Geo-Data Centre as essential tools for accessing vital geoscientific data and facilitating transparent transactions. Alake assured attendees of President Tinubu’s commitment to enhancing geological data levels, advocating for partnerships to unlock Nigeria’s mineral potential, especially in critical areas like lithium and rare earth minerals, crucial for sustainable development.

Nigeria boasts a wealth of untapped mineral resources, and the government is keen to attract international investment to develop this sector. The Mines & Money Conference serves as a platform for countries to present their mining opportunities, strategies, and technologies to a global audience. By leveraging advanced digital platforms, Nigeria aims to modernise its mining industry, promote transparency, and facilitate easier access to geological data. This strategy aligns with the global shift towards sustainable mining practices, particularly in the production of critical minerals needed for green technologies.

Nigeria’s proactive approach in promoting its mining sector through digital innovation and enhanced data access is a significant step towards attracting global investment. The emphasis on transparency and sustainability is expected to position the country as a key player in the global mining landscape, particularly in the critical minerals sector essential for renewable energy solutions.

Original Source: tribuneonlineng.com

The post Nigeria Invites Global Investment in Mining at UK Conference first appeared on Nigerian Mining News.

The inaugural Investment Summit and Roadshow for Solid Minerals in Nigeria, organised by the Nigerian High Commission in South Africa with Rosebank Capital, showcased the country’s mining potential to South African investors. The event highlighted policy reforms, community agreements, and innovative systems aimed at revitalising the sector. Key discussions included investment incentives, the digitisation of mining license processes, and the need for local value addition in mineral processing.

Engaging sessions helped clarify misconceptions about Nigeria’s business climate. Investors raised concerns over policy fluctuations, which were addressed by showcasing the amendment process for the Nigeria Minerals And Mining Act (2007). This aims to solidify reforms and improve the investment framework. The revised Community Development Agreements (CDAs) were also introduced to ensure host community consent for mining operations, fostering better relationships.

The Nigeria Mineral Decision Support System (NMDSS) emerged as a pivotal tool to attract investors, providing comprehensive data for informed decisions without necessitating travel. President Bola Tinubu’s promise of “Easy In, Easy Out” regarding profit repatriation, paired with tax waivers for mining equipment imports, further appealed to investors. Dr. Dele Alake emphasised the importance of local processing and skill transfer to boost Nigeria’s GDP.

Improvements in the mining license application process through the Electronic Mining Cadastral System (EMC+) were presented as a significant leap forward. Additionally, potential collaborative programmes were discussed for mutual certification of mining professionals between Nigeria and South Africa.

The summit was marked by several commitments, including interest from Pilanesberg Platinum Mines to explore similar initiatives in Nigeria and an MOU for a $1 billion coal processing and power plant project in Enugu State. Crystal Partners also expressed intentions to collaborate with Nigeria’s mining sector. Overall, the Roadshow was deemed a success, signalling a promising future for Nigeria’s solid minerals sector under proactive leadership.

The focus of this article is the recent Investment Summit and Roadshow for Solid Minerals held in Johannesburg, South Africa, which served as a platform to present Nigeria’s mining sector potential to international investors. It highlighted ongoing reforms and initiatives aimed at transforming the mining industry and establishing Nigeria as a favourable destination for mining investments. The Nigerian delegation engaged investors through presentations, discussions on policies, and innovative systems designed to ease the investment process and enhance community relations.

In summary, the Investment Summit and Roadshow successfully showcased Nigeria’s mining potential, addressing investor concerns about policies and community engagement. Promises of improved processes, attractive incentives, and the commitment to local value addition were well received. Key partnerships and initiatives were formed, indicating a proactive approach to investing in Nigeria’s mining sector, suggesting a bright future under effective leadership.

Original Source: blueprint.ng

The post Investment Summit Showcases Nigeria’s Mining Potential to South African Investors first appeared on Nigerian Mining News.

Nigeria is enhancing its appeal to global investors through digital mining platforms, as announced by Dr. Dele Alake, Minister of Solid Minerals Development, at the Mines & Money Conference in the UK. He highlighted the advantages of Nigeria’s geo-data platforms, including the Nigerian Mineral Decision Support System and the Electronic Mining Cadastral, which provide essential data for mining ventures. By adopting these technologies, Nigeria aims to foster transparency and efficiency in the mineral industry. Alake assured mining executives that the government is committed to investing in geological research, which will support the mining sector’s growth and sustainability efforts, particularly in the context of critical minerals essential for a green economy. The Minister also emphasized the importance of value addition in mining and urged collaboration with major mining firms to unlock Nigeria’s potential.

The ongoing global interest in sustainable mineral extraction has prompted Nigeria to leverage digital platforms for better accessibility to its mineral resources. With an abundance of critical minerals such as lithium and rare earth elements, Nigeria seeks to position itself as a leader in the mining sector. The introduction of digital technologies aims to streamline investment processes in a region historically rich in mineral wealth but often hindered by data scarcity and administrative inefficiencies.

In conclusion, Nigeria is actively promoting its mineral resources to global investors through innovative digital platforms. The government’s commitment to enhancing geological data accessibility and fostering international collaboration is poised to attract significant investment in the mining sector, supporting economic diversification and sustainability initiatives.

Original Source: tribuneonlineng.com

The post Nigeria Attracts Global Mining Investment with Digital Platforms first appeared on Nigerian Mining News.