The Federal Ministry of Solid Minerals Development has assured operators in the sector that it will ensure sustainable and responsible mining in line with national and global environmental goals.
The ministry’s Permanent Secretary, Dr. Mary Ada Ogbe, said this during a sensitisation/workshop programme for mineral title holders, mining host communities and relevant stakeholders at Keffi, the Nasarawa State capital.
A statement yesterday in Abuja by the ministry’s Deputy Director Information and Public Relations, Alaba Balogun, said Dr. Ogbe expressed the commitment of the Federal Government to collaborate with mining operators to imbibe critical environmental practices.
The permanent secretary, who was represented by the Director Mines Environmental Compliance Department of the Ministry, Dr. Vivian Okono, educated stakeholders on environmental obligations.
She explained that it was not just a regulatory requirement but strict adherence to best environmental practices that was necessary.
“Understanding and fulfilling our environmental obligations is not just a regulatory requirement but a fundamental aspect of responsible mining. Our duty extends beyond mere compliance; it encompasses a commitment to proactive environmental stewardship.
“We will delve into the specific obligations that mining companies must adhere to and explore best practices for meeting these requirements effectively,” Dr. Ogbe said.
According to her, the ministry organised the sensitisation programme to broaden the horizon of participants around four interlinked topics of immense importance to the mining industry. These, she said, included climate change, the environmental obligations of mining companies, community and social issues and the effective operationalisation of the Environmental Protection and Rehabilitation Fund (EPRF).
“Each of these elements plays a critical role in ensuring that our mining practices are sustainable, responsible, and aligned with both national and global environmental goals,” Dr. Ogbe added.
Minister of Solid Minerals Development Dr. Dele Alake, has said that the proposed amendment to the Mining Act, 2007 is designed to generate maximum economic benefits and position the solid mineral sector as a major contributor to the Gross Domestic Product (GDP) of the country in the future.
He disclosed this yesterday during a stakeholders’ meeting organised by the Ministry of Solid Minerals Development on Mining Policy Dialogue and Amendment of the Nigerian Minerals and Mining Act, 2007, held at the Rock View Hotel Wuse II, Abuja
Commending the commitment of stakeholders in the sector at the engagement workshop, the Minister highlighted the commonality of purpose existing between mine operators, policy makers and government on the need to deliberate and review the Nigerian Mining Act 2007, to gain economic benefits from the solid minerals sector.
”You and us in the Ministry have the same objective, and what is the objective, to ensure that we enhance the operating environment of Solid Minerals in Nigeria with a view to maximizing the benefits for you and all of us and of course, for the generality of Nigerians,” Dr Alake added.
Alake further alluded to several initiatives and policies of the Ministry in the past one year of being at the helm of affairs. These recorded milestones, he stated, have received positive reactions from Nigerians, international investors, policy makers and observers.
To this end, the minister affirmed that the stakeholders’ meeting for reviewing the Mining Act is a positive step to reposition the sector as a pivot around which all other sectors of the Nigerian economy revolve.
“I want to appeal to everyone of you to keep up the flag, keep up the strides , and keep on achieving in your various individual and corporate endeavors.
“At the end of the day, we wish all of us to come out with a new Nigerian Mining Act that will take cognizance of the interest of all sectors, with the interest of all stakeholders, the operators, companies, the policy makers, those of us on this side of the divide, and of course the generality of Nigerians,” Alake stated.
In her contribution, the Ministry’s Permanent Secretary, Dr. Mary Ogbe emphasised the importance of proferring actionable solutions that will enhance the competitiveness of our mining sector.
”We are here not just to discuss challenges but to find actionable solutions that will enhance the competitiveness of our mining sector, promote transparency, ensure environmental sustainability, and ultimately improve the livelihoods of all Nigerians,”Ogbe stated.
Concerned stakeholders in the mining sector on Wednesday, August 21, urged President Bola Ahmed Tinubu to prevail on sub-nationals to desist from alleged interference in the operational activities of the sector.
The group noted that the actions of some state governments are not only a disservice to the efforts of the federal government at attracting foreign investors to the sector but inimical to the growth of the industry which has not fully resurged from the coma of decades-long abandonment.
Addressing newsmen in Abuja, the spokesperson for Concerned Stakeholders of the Minerals and Mining Sector (CSMMS), Professor Akinade Olatunji said the situation in the industry requires urgent attention from the federal government as the unwholesome developments in the sector could extinct life it.
Olatunji identified the unbridled interferences of state governments in mining operations in their territories in contrast to the provisions of the Constitution of the Federal Republic of Nigeria and the Nigerian Minerals and Mining Act of 2007 (NMMA 2007) which vested the Federal Government exclusive ownership and control of mineral resources as a major hindrance in the sector.
The stakeholders include the Nigerian Mining and Geosciences Society (NMGS), Miners Association of Nigeria (MAN), Women In Mining In Nigeria (WIMiN), Nigeria Society of Mining Engineers (NSME), National Association of Chambers of Commerce, Industries, Mines and Agriculture (NACCIMA), Gemstones Miners and Marketers Association of Nigeria (GMMAN), ECOWAS Federation of Chambers of Mines (EFEDCOM), Association of Miners and Processors of Barite (AMAPOB) and Lagos Chamber of Commerce and Industry (LCCI).
Lamenting the development, the group noted the interferences by the sub-nationals manifest in several forms, which include the establishment of ministries, departments, or agencies (MDAs) for minerals and mining by state governments and requesting that all duly licensed operators should register with such state-run MDAs.
Olatunji also cited the closure of operational sites using law enforcement agents and task forces not known to extant industry regulations; confiscation of lawfully mined products from operators without reasons; brutalization of personnel of operators in some instances, vandalization and setting on fire of hard-earned equipment and using the state apparatus to institute frivolous court cases against operators.
CSMMS said: “These unchecked usurpations of the functions of the Federal Government by State authorities is a direct affront to the preserved rights of the Federal Government as enshrined in the Constitution and the Mining Act and has thrown the entire sector into confusion. These actions from the sub-nationals not only complicate the business environment for investors but also introduce a huge level of unquantifiable risks capable of hindering and sabotaging the Federal Government’s vision for accelerated investment flows into the sector.
“It is noteworthy that the unwholesome behaviour of state governments can be partly traced to the lack of establishment or effectiveness of the States Mineral Resources and Environmental Management Committee (MIREMCOs), as prescribed in Section 19 of the NMMA 2007 and Section 163 of the NMMR 2011. We believe that strict compliance with the Act and Regulations can curtail the infringement by states in the mining sector governance frameworks.
“The cacophony of diverse policies emanating from the States that conflict with the enabling legislation governing the sector needs to be arrested lest the country end up in mass agitation for resource control over natural resources reserved by the CFRN to the Federal Government.
“As stakeholders, we believe that the State and the Federal Government should be on the same page to ensure the attainment of the aspirations of the governments at all levels for the sector. The present situation where States are competing among themselves to ban or regulate the minerals and mining space in their States would only destroy whatever gains the sector had made in recent years.
“The FG cannot be going round the world to seek for FDIs in the minerals and mining sector while the States are busy enacting and implementing measures that negate investment in the sector.
“We, as Stakeholders, are alarmed and worried that the huge investment made by operators in the sector are currently being endangered by the actions of the State governments and their agents.”
The group further argued that “it is our considered view that if this situation is allowed to fester, the 7-Point agenda for the sector as enunciated by the Minister for the promotion of a resurgent minerals and mining sector would be undermined, compromised and unrealised.”
On the recent move by the federal government to review the rents, royalties, and license rates, the group reaffirmed its support for an upward review but requested that the fees should carry human face.
Expressing concern the group argued that “the astronomical hike in rates did not take into cognizance the high risk-cum-long gestation nature of mining, the current inclement economic climate in the country, and the dire need to nurture the struggling Nigerian Miners.”
• ‘We are pushing hard on economy’s diversification’
• 12 arrested in Ondo
To give impetus to the government’s economic diversification efforts, President Bola Ahmed Tinubu has charged the military to flush out illegal miners.
Mining is a veritable source of revenue that can favourably compete with the income from oil.
Minister of Solid Minerals Dr. Dele Alake has stepped up efforts to make the sector perform optimally in revenue generation for the country.
To discourage criminality, the minister inaugurated the Mining Guard, deployed at sites nationwide.
Nigeria is rich in gold, tin, and coal, among other solid minerals.
The activities of illegal miners are prevalent in the Northwest, especially Zamfara State; Northcentral, especially in Niger, Nasarawa and Plateau states; Southwest in Osun and Ondo, among others.
Speaking yesterday when he received Course 32 participants of the National Defence College (NDC) at the State House, Abuja, the President said: ‘‘I recognise the need for the diversification of the economy, and we have been pushing hard on this.
“Your involvement will equally promote a better understanding of the issues.
‘‘We have challenges of scavengers and exploiters around the country.
“We must nip that in the bud, and you military officers understand this better than the civil society.”
A presentation from Course 32 participants of the NDC titled “Harnessing the Mining Industry for Enhanced National Security and Development: Strategic Options for Nigeria by 2035,” highlighted the need for diversification of the economy and the role of the mining industry in achieving this goal was made to the President.
In a statement issued by his Special Adviser on Media and Publicity, Ajuri Ngelale, President Tinubu stressed the need for security agencies to deal with the problem of illegal miners.
The President commended the participants for their intellectual depth and knowledge of war and security.
He expressed his expectation that through the command of the security agencies, more resources would be made available to ensure a stable economic environment.
The Course 32 Participants were tasked with researching topical national issues.
Their findings during their 11-month study focused on the mining industry’s potential to contribute to national security and development.
Responding to the presentation delivered by Colonel Olajide Bello on behalf of the delegation, President Tinubu commended their work and reiterated the importance of diversifying Nigeria’s economy.
‘‘I have listened carefully to your presentation on the theme. Aside from your knowledge of war and security, I could see the intellectual depth of the work done to help the nation, and I must say thank you to all of you.
‘‘We expect that through your command, we will have more resources that we need to make sure we have a stable economic environment,’’ the President said.
President Tinubu assured the delegation that his administration would ensure the completion of the NDC headquarters in Abuja.
Addressing the health implications of exploration activities during an interactive session, the President expressed concern over the well-being of those living near mining areas.
‘‘We must pay attention to that at the outset by providing medical centres and other facilities that will protect the lives, property and health of Nigerians,’’ President Tinubu said.
NDC Commandant, Rear Admiral Olumuyiwa Olotu, said the institution, established in 1992 as the National War College, has graduated 2,871 participants since its inception.
He disclosed that besides participants from 30 African countries, the college has had participants from Bangladesh, Brazil, France, Germany, India, Nepal, and Pakistan.
Rear Admiral Olotu said through the President’s magnanimity, the college has embarked on unprecedented infrastructural upgrades, making the institution compete favourably with any other defence college in the world.
However, he appealed to President Tinubu to assist in the completion of the college’s permanent site in Abuja, noting that the institution currently operates from its temporary facility in the Central Business District owing to the non-completion of its permanent site since 2010.
The 111 participants of NDC Course 32 were drawn from the Nigerian Army, Navy, Air Force, Police, ministries, departments and agencies (MDAs), as well as 19 international participants from Africa, Asia, Europe, and South America.
The college undertakes in-depth studies on all factors that affect national security and development.
The research centre in the college known as the Centre for Strategic Research and Studies is also designated as the ECOWAS Training Centre of Excellence for Peace Support Operations at the strategic level.
Army arrests 12 illegal miners in Ondo
Operatives of the 32 Artillery Brigade of the Nigerian Army in Akure have arrested 12 persons who were engaged in illegal mining in Ondo State.
The operatives gathered that the actual kingpins of illegal mining in the state hail from Niger and Zamfara states.
Those arrested were Abdullahi Ibrahim, aged 40, Hassan Bala, aged 40, Alawude Damilarin, aged 36; Ajayi Ebukun, Oluwaseun Rufus, Adebayo James, Kamal Zaharadeen, Mohammed Bello Lawal, Yunusa Mohammed, Ma’azu Auwal, Bashir Muktar and Kabiru Sani.
Senior Special Assistant on Security to Governor Lucky Aiyedatiwa, Mr. Olugbenga Atiba, who spoke when the suspects were paraded, said it was part of measures to curb illegal mining and other security challenges in the state.
Atiba said the illegal miners were arrested based on credible intelligence.
He said: “We had our men deployed across the three senatorial districts of Ondo, penetrating deep into the jungles to prevent kidnapping and make arrests where possible.
“We know the destruction that has been caused in Niger State by these illegal miners. The kingpins are from Niger and Zamfara.
“Upon discovering these illegal activities, immediate actions were taken.
“One of the first steps was conducting a reconnaissance to establish the presence of these illegal miners. We have now stationed security men throughout the state.
“We have also identified some individuals, including some local leaders, who are involved in these activities and causing problems.
“However, at the state government level, we are addressing this through the Ministry of Local Government and Chieftaincy Affairs.”
Ondo Commissioner for Energy and Mineral Resources, Razaq Obe, called for mining stewardship not to be on the exclusive list.
Four more bodies recovered from mining pit collapse
Also yesterday, the bodies of the remaining four trapped miners in Galadima-Kogo community of Shiroro Local Government Area of Niger were recovered.
Alhaji Umaru Aliyu, Village Head of Galadima-Kogo, disclosed this in an interview with the News Agency of Nigeria (NAN) in Minna.
NAN reports that 14 persons lost their lives in the incident, while eight were rescued with various degrees of injuries on June 14.
Aliyu said the remaining four miners were recovered on Wednesday, adding that their bodies were deposited at IBB Specialist Hospital, Minna mortuary.
“The dead bodies of the remaining four persons that were trapped inside the pit have been recovered and their bodies have been deposited in the mortuary in Minna.
“They are two Muslims and two Christians. Among the Christian victims, one is from Nasarawa state and one is from Zumba (Shiroro LG).”
“The one from Nasarawa, his family has demanded that his body be taken there for burial, while the remaining Christian and the two Muslims will be buried in Minna on Friday,” he said.
Aliyu said the bodies were recovered through collaboration between the community and staff members of the African Minerals and Logistics Ltd.
Chief Ajuri Ngelale, Special Presidential Envoy on Climate Action, says Nigeria is taking steps to decarbonise mining practices.
He said, in a statement, that to actualise this, he held substantive discussions with the Executive Management of Sinoma International Engineering Company at their Beijing Headquarters on Tuesday.
“Mr Yin Zhisong, the Board Chairman of the company and Mr Zhu Bing, the Company’s President, were in attendance at the meeting which, covered areas of mutual interest,” he said.
Ngelale said Nigeria was moving swiftly to localise the expertise Sinoma had developed in the decarbonisation of mining practices with full ecological support and restoration.
He added that the endeavour included cross-cutting automation of several manufacturing processes for Carbon capture, use and storage (CCUS), wind blades, and other very important technologies.
He described his engagement with the management of the Chinese company as very productive.
Partner & Head, Energy & Natural Resources, Tax, Regulatory & People Services, KPMG, Ayo Salami, has said the mining sector has the capacity to contribute 8 per cent Gross Domestic Product to the nation’s economy on annual basis, adding Nigerian counterparts such as Ghana, South Africa, and get more in Zambia, with 12 per cent.
He stated this during the KPMG 2024 Breakfast seminar with the theme: “Mining-The Future Frontier for Nigeria’s Economic Diversification”, in Lagos.
He also said Nigeria has 0.12 trillion reserves in terms of value of mineral deposits, and in terms of tonnage.
According to Salami in terms of the dominance of minerals and mineral deposits, Nigeria ranks number 22, with values of minerals about 1.12 trillion, over a billion US dollars adding Algeria and South Africa are just above Nigeria on the list with 19th and 11th positions respectively.
Summarising what has happened to the Nigeria’s mining sector in the last couple of years, focusing on 2022 data Salami said Nigeria is struggling to achieve a 0.77% contribution to GDP from this sector. This sector, he said actually has the potential to jumpstart the development of the country.
According to him, as of 2023, the growth, the contribution to GDP was just 0.77 per cent. Putting it in context, the Partner said Nigeria must actually get close to the current government and probably the greatest of them.
He explained eight years ago, when the roadmap was put together by the ministry, the contribution was less than 0.3 per cent, so over a period of six, seven years, it sort of doubled, even though it’s still risky. According to him, the country should be doing in the ranges of 8 per cent adding this is not where we want to be as a country and therefore should take something serious going forward.
Meanwhile, the group had launched what it called the mining brief. The mining brief Salami explained is a publication of KPMG Nigeria, which seeks to put out there certain information about the mining sector in terms of regulatory framework, the tax incentives, the various types of mineral rights that can actually be applied for and obtain in Nigeria, and it hosts a lot of other information that investors need to know about the mining space in Nigeria.
”So, it’s a document that I would advise that every investor, both foreign and Nigerian, obtain to have insight, first-hand insight into that sector in Nigeria and all those matters that they need to be aware of when they make an investment in that sector”, he explained.
Salami said the benefits of the mining brief on the sector and on the nation’s economy is that you have some information free of charge, things that you might have to pay for and you go to some of the advisors in Nigeria to seek that information.
He said the information is available free of charge, and secondly, it’s like an eye-opener for those investors regarding matters that they probably are not aware of before they make an investment in Nigeria and the matters that ordinarily their lawyers, their accountants would have to tell them at a fee, they get them for free through the mining brief, he added.
Salami said the programme was organized this one, to sensitize the various stakeholders about the potential that the mining sector holds for jump-starting the development and diversification of the Nigerian economy and the fact that we have so many minerals that the government can leverage to achieve that purpose.
The second reason was to also sensitize the public about the connection and the linkage between energies, transitioning, and mining, Again, to also bring together both public and private sector operators to share ideas and see how they can, together, work to see how they can achieve the mandate of the president, one of the eight presidential priorities, which is diversifying the economy and generating forex for the country.
Akpabio spoke ahead of declaring open a three-day investigative hearing on: “The need to comprehensively review the input and output values of the Nigeria mining industry in the light of its general role to economic diversification, foreign exchange earnings and social inclusion,” yesterday in Abuja.
The public hearing was organised by the Senate Committee on Solid Minerals Development, chaired by Senator Sampson Ekong (PDP, Akwa Ibom South).
Akpabio noted that after exploiting Nigeria’s solid minerals and benefiting from them maximally, the foreigners often leave behind a tale of woes, including insecurity.
The Senate President said time has come for the country to benefit from its mining sector, urging stakeholders to discuss the challenges that have hindered the growth of the sector and proffer solutions.
He said: “The resolution of the Senate that led to this investigative hearing underscores the pivotal role that the mining industry plays in our quest for this economic diversification. We can no longer overlook the immense potential of the mining sector in this country.
“The mining sector should by now become a major cornerstone to enable the country earn foreign exchange. It will even be a catalyst for social inclusion and empowerment of the populace.
“As usual, just like fishing, more foreigners are earning from the mining sector more than Nigerians. At the end of the day, what they leave us with are stories of woes and tales of killings in order to enter mine fields and, in the process, compounding the security situation of our country.”
Committee Chairman Sampson Ekong said the investigation was aimed at identifying bottlenecks and opportunities in the mining value chain and how to develop strategies to increase local content and value addition as well as enhance the sector’s contribution to foreign exchange earnings and economic growth.
In a presentation, Solid Minerals Development Minister Dele Alake noted that while the solid minerals sector was steadily fetching some revenue, the earnings were not enough to meet the developmental needs of the country.
Alake said: “The reason the problem remains till tomorrow, that is the nation being dependent solely on oil, is because there was a free flow of petrol dollars.
“So, we closed our eyes as a society to other critical sectors that could have stabilised and improved the infrastructural and technological development of Nigeria.
The Federal Government has revoked 924 dormant mining licences to sanitise the mining sector.
Solid Minerals Development Minister Dele Alake announced the revocation while addressing reporters in his office yesterday in Abuja.
The minister said exploration, mining, small-scale mining, and quarrying licences were involved in the mass revocation.
The Federal Government had revoked 1,663 mining licences last November following the failure of the licencees to pay statutory charges, fees, and dues to the government.
Alake said the government’s action was in line with constitutional provisions.
The minister explained that adequate notice was given to the parties concerned through the official Gazette of the Federal Republic of Nigeria, Number 227, which was published on December 27, last year.
He said: “The notice gave all concerned parties 30 days to regularise their status, including clarifications on what caused the licences to be dormant. Thus, although a total of 963 licencees were published and notified of the threat of revocation, no fewer than 39 either moved to site immediately or convinced the authorities of the challenges hindering their operations.”
A breakdown of the revoked 928 dormant licences showed that 528 were for exploration; 20 for mining leases; 101 for quarrying; and 273 for small scale mining licenses (SSML).
Alake also said the government’s action followed due process and fair consideration, underscoring its commitment to implement the standard policy of “Use it or Lose it,” as enshrined in mining guidelines.
He added: “Investors across the globe are now free to apply for any of the affected Cadastral Units on the basis of ‘first come, first served’. It is our belief that this decision will sanitise the licensing system by penalising those who have commercialised the opportunities offered by the sector into a bazaar.”
According to him, the revocation is not meant to be punitive but an opportunity for the affected licencees to make restitution.
“For revoked mining licences, a fine of N10 million applies; N7.5 million for small scale mining license (SSML); while N5 million for exploration licence (EL). They will be required to make the payments within 30 days to qualify for consideration,” Alake said.
The minister warned that henceforth, the Federal Government would not tolerate the nefarious activities of licence racketeering or those that obtain licences for speculation in order to offer them to the highest bidder.
The National Association of University Students (NAUS) has condemned illegal mining activities on the Obafemi Awolowo University (OAU) campus.
A statement by Akinyemi Hammed, the vice chairman of NAUS in Osun state, deputy national president Babalola Daniel, and national security director of NAUS, Eruobami Ayobami called for a thorough investigation into such activities and brought culprits to book.
It sympathised with the university community and those who are being directly affected by the illegal operations.
“The safety, health, and well-being of thousands of students, faculty, and staff members are seriously threatened by the recent revelations regarding illegal mining activities near the university’s staff quarters and essential water sources.
“The sacredness of academia is violated when mining operations encroach on university property, endangering the quest for knowledge and enlightenment that academic institutions are designed to promote.
“All pertinent parties must give the OAU crisis their immediate attention and take prompt action. We demand that the administration of the institution put the security and welfare of the student body first by acting quickly to put an end to these unlawful acts and hold those involved accountable.
“Furthermore, we implore the Federal Ministry of Environment, the Ministry of Solid Minerals, and other relevant organisations to initiate a thorough inquiry into the issue and guarantee that those responsible be held accountable.
“Additionally, we make a call to international organisations to provide their knowledge and assistance in resolving this urgent matter, which poses a threat not only to the neighbourhood but also to the environment and public health.
“Working together is essential to ensuring that our universities remain bulwarks of knowledge and advancement, free from the scourge of illicit mining and other harmful operations.
“NAUS is steadfast in its commitment to fighting for the welfare and rights of Nigerian students, and it will keep a careful eye on events at OAU,” the statement said.
He said this administration will no longer allow anybody or licence any company that wants to go into the mineral sector without giving it a plan for local value addition like processing, refining and this has a multiplier effect on the economy.
Alake also said value addition generates employment rather than a few people carting away lithium, gold, and the likes to other countries to sell. These minerals must be processed in Nigeria, creating more value and beneficiation for local communities where they are sourced.
Special Assistant Media to the Minister, Segun Tomori in a statement, said the minister spoke yesterday in Abuja while hosting members of the House Committee on Solid Minerals on an oversight visit.
Alake applauded the lawmakers for their support in repositioning the mining sector, stressing that changing the economic fortunes of Nigeria is a joint task by both the executive and legislature.
He assured the legislators of the significant contribution of sub-nationals to mining development, stressing that state chairmen of Mineral Resources and Environmental Management Committee (MIREMCO) and five members of the committee are nominated by state governments.
He said: “The importance of this committee cannot be overstated because whether we like it or not, we are at the cusp of history and it does beckon on us individually and collectively whether as executive or legislature to change the paradigm of Nigeria’s economic fortunes because we have to diversify our economy away from the mono-cultural dependency on oil. Again, that underscores the significance of this committee because of the importance of the ministry in that regard. That is why I view your visit here with all sense of proprietary, responsibility, and appreciation of the oversight functions that you are saddled with.
