Federal Government has generated over N6.5 billion in mining fees and approved 118 new private mineral-buying centres in the first quarter of 2025, marking a significant leap in revenue generation and investor interest in Nigeria’s solid minerals sector.
Dr Dele Alake, the Minister of Solid Minerals Development, while addressing the second Annual Mining Conference organised by BusinessDay newspaper in Abuja, attributed the revenue boost to renewed awareness campaigns and reforms aimed at attracting investors.
Segun Tomori, the Special Assistant on Media to the Minister, revealed in a statement that the funds were collected by the Mining Cadastral Office (MCO)—the Ministry’s licensing agency—through 955 title applications, including 651 for exploration, 270 for small-scale mining, 49 for quarrying, and 24 for reconnaissance permits.
Of these, Dr Alake approved 867 licences, comprising 512 exploration licences, 295 small-scale mining leases, 60 quarry leases, and 5 mining leases.
The revenue stream includes various fees, such as annual service charges, application processing fees, and license renewals. The MCO has also enhanced its conflict resolution mechanism to reduce disputes and legal challenges over mineral title ownership.
Dr Alake highlighted significant progress toward establishing the Nigerian Solid Minerals Corporation—a special-purpose vehicle designed to elevate Nigeria into the league of global mining giants.
“We are finalising its structure in partnership with the Ministry of Finance Incorporated (MOFI). Nigerians will be able to invest via a public offer, with equity distributed as 25% for citizens, 25% for government, and 50% for the private sector,” he said.
The Minister also celebrated the Ministry’s strong performance in revenue generation, noting it surpassed its 2024 target of N11 billion, hitting N38 billion, an excess of N27 billion.
Dr Alake cited key international collaborations, including a partnership with the French government to equip the Nigeria Geological Survey Agency’s (NGSA) laboratory and train young geologists in cutting-edge mining techniques.
Additionally, the Government of Western Australia has approved regular training programmes for Nigerian mining professionals, with the first batch scheduled to depart next month. He also mentioned ongoing partnerships with British, Saudi, and South African stakeholders aimed at capacity building and investment across the mineral value chain.
Reflecting on Nigeria’s growing influence in Africa’s mining industry, Dr Alake said the government’s value addition policy has improved local beneficiation and strengthened Nigeria’s leadership on the continent.
“Nigeria was recently named the pioneer chair of the African Minerals Strategy Group (AMSG), thanks to our stance against raw mineral exports without local processing,” he said. “We are already reaping the benefits as we prepare to commission new lithium, bauxite, and gold refining plants this quarter.”
RN
