The Nation Newspaper

Tag: mining

  • Osinbajo, others for mining summit

    The International Conference Centre, Abuja will on May 13 open its doors to the National Mining Summit (ConMin) West Africa.

    In a statement, Emma Hooper, the Business Manager Afrocet Montgomery , the organisers, said Acting President Yemi Osinbajo is expected to inaugurate the three-day event, designed to boost networking and opportunities for stakeholders in the subsector.

    The main objective of the summit, he added, is to ‘’advance mining not just in Nigeria but across the West Africa region’’and that it would a forum for organisations to exhibit their products and services.  Also expected are ministers from Ghana, South Africa, Kenya and Niger.

    He said the summit was being sponsored by Dangote Cement, Total Nigeria, Africa Finance Corporation, Stanbic Bank, among others. The organisers are partnering Deloitte Consulting and have the nod of the Ministry of Solid Minerals Development to hold the event aimed at boosting the subsector’s development in the sub-region. On the merit of the summit, Hooper said: “The exhibition will provide a networking opportunity for participants with various networking sessions and opportunities for stakeholders to engage with relevant counterparts.’’

    He said on June 14, there would be a conference entitled: Sustainability of the construction industry in Nigeria to be hosted by the Federation of Construction Industry (FOCI). Those billed to speak are Chief Executive Officer (CEO), Ghana Minerals Commission,Dr Toni Aubynn; Director Country Office, African Development Bank (AfDB), Mr Ebrima Faal, and Director, United Nations Industrial Development Bank Organisation (UNIDO), Mr Jean Bakole.

     

  • National mining exhibition coming

    The National Mining Summit titled: ConMin West Africa has been planned to hold on June 13 at the International Conference Centre, Abuja.

    In a statement, the Manager in charge of the exhibition Jamie Pearson stated that the exhibition is aimed at assisting the sector’s development, through ensuring that all key stakeholders from across the supply chain were present. ‘’It will enable for businesses to connect with policy makers and financiers. Furthermore, with the sector in its infancy – the organisers have allowed for an important mix of international players from countries where mining is far more advanced to offer case studies and advice,’’ he said.

    He listed experts being expected at the events to include Minister Mosebenzi Joseph Zwane, minister from South Africa; Minister Dan Kazungu from Kenya; Monsieur Hassane Baraze Moussa, Ministre Des Mines, Niger and Paul Lehman, the High Commissioner of Australia to Nigeria.

    The events would also feature eminent personalities, such as Dr. Toni Aubynn, the Chief Executive Officer (CEO)  of the Ghana Minerals Commission; Ms Yewande Sadiku, Executive Secretary, Nigerian Investment Promotion Council and Mr. Oscar Onyeama, the CEO of Nigeria’s Stock Exchange (NSE).  These experts, he said, would speak be on topics, such as Transparency and Sustainability, to Geological Data Generation and Mineral Prospectivity.

    The exhibition is expected to be attended by companies exhibiting from across the construction and solid minerals industries. The conference running alongside the exhibition will be focused on construction with technical sessions held by exhibitors and leading brands and more general sessions including insurance of construction programmes and financing projects.

    Visitors will be able to hear from leading industry experts on these pertinent topics, while also discovering new technologies, greeting potential partners and generating business for their firms.

    The summit, which will be held under the auspices of the Ministry of Solid Minerals, in partnership with Deloitte Consulting is endorsed by the NSE; FOCI; VDMA. It is being sponsored by Total and Soetec Engineering Limited, among others.

  • Mining: Ministry to train journalists

    The Federal Ministry of Mines and Steel Development, in collaboration with Open Society Initiative for West Africa (OSIWA), will be holding a three-day capacity building workshop for journalists covering the mineral and mining sector.

    The Media Immersion Workshop with the theme: “On the Road to Shared Mining Prosperity: Emphasising Excellence in Mining Reporting”,  is scheduled to hold between Wednesday, May 3 to Friday, May 5, in Lokoja, Kogi State.

    According to a statement by the organisers, no fewer than 50 journalists drawn from the print, electronics and online media, both government and privately- owned, organisations would participate in the workshop.

    “The workshop is a lead capacity building programme that strives to stimulate and harmonize the working relationship of the media and mining sector in achieving the Federal Government’s economic diversification agenda.”

    “It aims to train, and in some cases retrain, journalists and social media practitioners, and position them as sector specialists in reporting and communicating developments in the mining sector, as the sector continues to witness growth.”, the statement said.

    According to the statement, participants would also visit some mining locations for on-the-spot assessment during the workshop.

    “The main objective of this workshop is to enlighten journalists whose reporting focus is on the Mining and Mineral Sector on the best possible methods of creating well researched and engaging stories about the Industry.

    Participants would also focus on the history of mining and its future in Nigeria; analyse the various legislations, policies and regulations guiding the mining industry; identify and distinguish different mineral resources and their geographical locations.

  • FG earmarks additional funds for small scale miners – Fayemi

    FG earmarks additional funds for small scale miners – Fayemi

    The Federal Government has earmarked additional funds to scale up mining activities from its current zero level in the country, Minister of Mines and Steel Development, Dr Kayode Fayemi, has said.

    Fayemi said on Tuesday in Enugu at a meeting with stakeholders in the mining industry, that the fund would be used to support small scale miners.

    The minister disclosed that the government would also support the miners with technology and mining equipment.

    According to him, the government will ensure the safety of communities where mining is taking place and ensure that all abandoned mine sites are reclaimed.

    He said that government also plans to address areas ravaged by erosion, especially in the southeast, due to mining activities.

    The minister said some of the challenges confronting the ministry were lack of sufficient geological data, funding, illegal mining and inadequate infrastructure.

    According to Fayemi, insufficient geological data about mineral quantity, the reserve, commercial viability had affected the sector over the years, adding that the ministry is working out modality to solve the challenge.

    He said the tension between states and Federal Government over rights to land resources would soon be resolved.

    The minister noted that majority mining operators in Enugu State were operating illegally and warned them to regularise their operations or be prosecuted.

    “The same thing was discovered in Abia and Anambra; even those with licenses are not using them, this will make the ministry to counsel or revoke their licenses and give them to serious minded miners.”

    The News Agency of Nigeria [NAN] reports that Fayemi and his Minister of State are on a nationwide tour to all mine sites to build stakeholders confidence, get feedback, identify challenges and proffer solutions.

    The ministers have so far visited Kaduna, Lagos, Ogun, Nasarawa, Benue and Enugu states.

     

  • World Bank’s $350m for mining, livestock revival coming

    World Bank’s $350m for mining, livestock revival coming

    The World Bank is injecting $350million into Nigeria’s mining and agricultural sector to revitalise its livestock sub-sector.

    While $200million will go into livestock sector resuscitation, the balance of $150million credit will be used used to help increase the mining sector’s contribution to the  economy.

    World Bank FADAMA Team Leader, Dr Adetunji Oredipe, who spoke in Abuja yesterday, said the global lender was working with the Federal Government to formulate the intervention policy, adding that discussions with the government’s team on the modalities for the project execution had also started.

    Oredipe said essentially, the bank would revive the livestock sub-sector with critical intervention in the areas of productivity and access to markets.

    “Productivity depends on a number of factors as it concerns the feeds which are very critical; the major problem of livestock production in the country is dearth of high-quality animal feeds, as the feeds determine what you get from your livestock.

    “World Bank is also looking at critical health aspects of the livestock industry, the veterinary aspects, as we are merging it with the surveillance,’’ he said.

    Speaking on the mining sector financial lifeline,  Senior Communication Officer of the bank, Ms Olufunke Olufon said the project would help to establish a strong foundation for mining sector development in the country.

    She said the credit would also enhance competitiveness by improving information infrastructure and knowledge of mining, adding that it would equally help in strengthening key government institutions and foster domestic investments in the sector.

    domestic investments in the sector.

    She said: “The project will help develop measures for formalising; regulating and inventorying artisan and small-scale mining; facilitate the flow of mineral transactions and facilitate access to finance.

    “It will facilitate access to technology and equipment; increase knowledge and support the mining and processing of the minerals in accordance with best practices.’”

    According to her, environmental and social protection will  also be enhanced by the credit line.

    Olufon said the expected results include the ability to attract and develop mineral transactions on medium and large mining operations and any other mining related investments.

    The  World Bank Country Director, Rachid Benmessaoudm was quoted to have said:“Nigeria has a favourable geological potential.

    “The potential is such that if adequately assessed, well exploited and managed in a sustainable manner, can support broader economic growth through mineral sector.’’

    Benmessaoudm said one of the key objectives of the project was to support Nigerian government’s priority to diversify the economy to a broader range of non-oil productive sectors.

    “The support will include the realisation of the full mineral endowment for sector policy, promotion, conducive business environment and integrated long-range resources and investment planning.’’

    He said the Nigeria had been unable to attract significant investment in exploration and mining into the sector.

    The global financial giant said the current productivity from the mining sector was still insufficient to meet local demands particularly for industrial minerals.

    The bank listed the critical binding constraints of the sectors development to include insufficient geo-data and geological knowledge, weak implementation and enforcement of the mining law and regulations.

    Benmessaoudm said that a large poorly regulated and informal artisanal and small-scale mining sub-sector was also one of the critical constraints of the sector.

    Elaborating more on the livestock financial support, Oredipe said there were series of reforms that would facilitate the efforts of livestock owners to change the business environment.

    He said the reform programme would be executed under the Livestock Micro Reforms Project, adding that the bank and government officials were now looking at the policy and business environment, with a view to perfecting them for the intervention.

    Oredipe said the World Bank’s focus on the livestock sub-sector was based on the request of President Muhammadu Buhari’s administration.

    “The administration made it clear that they want the bank to critically look into the livestock sector because not much is going on in that sector,’’ he added.

    He said that the livestock sub-sector accounted for a sizeable part of Nigeria’s Gross Domestic Product (GDP), providing income, employment, food, farm energy, manure, fuel and transport.

    Oredipe said that in the past, the livestock sub-sector was a major source of government revenue, adding that government was, therefore, making efforts to restore the lost glory of the sub-sector.

     

  • NCF raises alarm over sand mining, dredging

    The Nigerian Conservation Foundation (NCF) has expressed concern over the menace of sand mining and dredging in some parts of Lagos State.

    The organisation has called on the relevant government agencies to curb the menace before it gets out of hand.

    The Lagos-based environment watchdog said as the demand for sand increases in the construction industry, the act is  becoming an environmental issue.

    In a statement,  its Director-General, Adeniyi Karunwi,  noted that the industry has created huge opportunities for both skilled and unskilled labour in Lagos.

    This, he said, had led to an increase in sand mining, with its attendant environmental and economic consequences.

    He said the continued dredging in the state’s shorelines is an illegal activity capable of causing major environmental challenges for the state.

    Describing environmental impacts of sand mining and dredging as disastrous, Karunwi listed soil erosion, formation of sinkholes, loss of bio-diversity, soil contamination resulting from leakages of chemicals into the soil, deforestation, coastal erosion and loss of aquatic lives as possible effects of dredging and mining.

    “For instance, dredging in some places has been largely responsible for the loss of breeding habitats for sea turtles, which depend on sandy beaches for their nesting and other biodiversity. The demand for sand for the construction of roads and buildings has increased sand mining and dredging leading to a high demand for low-cost sand,” he added.

    Karunwi explained that a  biodiversity survey by a team of ornithologists along the lagoon in Lagos (from Sangotedo to Badagry), showed an unprecedented proliferation of dredging activities, a situation he believes may be lacking in regulation and coordination.

    Such uncoordinated activities by miners and dredgers, he feared, could cause great depths of almost six metres in the seabed, as reflected in the Banana Island to Third Mainland Bridge axis reported by the Nigerian Institute for Oceanography and Marine Research (NIOMR). The report further noted that depth was noticed in some of the areas where the Institute carried out the research.

    “It is, therefore, in the light of the foregoing, that NCF is calling on the relevant government agencies responsible for stemming this increasing tide of sand mining and dredging, to put a halt to it before it becomes a monster that would eventually consume us.”

  • CEGDEC backs women’s participation in mining

    Women and youths in Olode Aquamarine community in the Oluyole Local Government area of Oyo State are in high spirit as a one day workshop on Local Economic And Social Development Initiative will take place on 25th January.
    Organised by the Conservative Environmental Growth and Development Centre (CEGDEC), a non-government organisation, the NGO in support of Australian Aid the workshop targets these set of people because of their participation in artisanal and medium scale mining.
    Executive Director, CEGDEC, Maryam Temitayo Olayeni, said the transformation in the mining industries worldwide targeted at creating wealth in the mineral industry has not been significantly recorded . She also explained that In spite of the number of minerals in the country we have not fully harnessed the opportunities for mining in wealth creation.
    She said: “The Oyo State rich schist belt in mineral resources ranging from the semi-precious metals, precious metals, base metals and gemstones has therefore attracted many mining activities in the recent times. Olode aquamarine gems field of Oluyole Local Government has particularly received massive participation of artisanal and medium scale mining. However, the women and youths in this community have not fully benefitted as stakeholders, as there has not been significant social and economic development attributed to them from the aquamarine. They lack the skill and technology to process the gemstone, as well as marketing challenge. Therefore, they do not get good value on their stones in the supply chain on the long run.”
    The project therefore would empower the local women and youths who in turn would build others’ capacities in the long run as well as build their capacity through cooperatives and engagement in meaningful businesses and linkages around aquamarine mining.
    She further explained that during the one-day workshop, the community would be engaged in participatory group discussions, where best environmental mining practices and highlights of mining linkages would be addressed, so as to awake their potentials/strengths and not to impose knowledge/skills on them.

  • Solid minerals, mining and climate change

    SIR: Nigeria is blessed with about fifty different solid minerals discovered in various locations. These solid minerals include gold, silver, limestone, coal, bitumen, iron ore, tin, columbite, lead, zinc, gemstones, granite, marble, gypsum, talc, lithium, etc.  Mining is carried out across the federation even though not all the minerals are available in commercially viable quantities. Before the commercial exploration of oil started in the Niger Delta, solid minerals were a major foreign exchange earner and contributed immensely to the economy and development of Nigeria.

    Climate change which often manifests in the form of extreme temperatures, increased or decreased precipitation, increased frequency and magnitude of storms and rising sea levels, poses a number of risks to the mining sector and could impact mining operations negatively. One impact of climate change may in turn trigger other impacts of climate change on mining. For example, decreased water availability leads to reduced precipitation which has a major impact on hydro-electricity generation that is a major source of energy for mining companies. Runoff which is the flow of excess water over saturated land in dry or water stressed areas will affect mining. Some mining operations require relatively large amounts of high quality water. A direct implication of increased water stress is that such mining operations will not have access to sufficient supply of high quality water.

    Climate change also has business and financial consequences on mining companies. At construction and operation stages, there are financial risks from increased capital and operating expenses to secure new sources of water for expansion of existing operations in water-stressed areas. The level of investment in desalination plants, pumping and transportation infrastructure can have negative effects on the financial capacity of the mining company. Sourcing water from longer distances increases operating costs. There are also secondary financial risks from the possibility of reduced reliability in electricity supplied. Mining companies may incur higher costs from having to rely on back-up generators. Hydroelectric power production facilities are susceptible to water supply fluctuation issues. The shortfall in resources of the mining company may affect its relationship with the host community in terms of its ability to effectively carry out corporate social responsibility. The inability of the mining company to significantly contribute to the health, educational and general well-being of the host community may lead to workforce availability issues and increased bad blood between the host community and the mining company which may in the long run affect the company’s social licence to operate.

    Climate change also negatively affects the transportation supply chains of mining companies especially if the transportation supply chain infrastructure is located in coastal areas and regions susceptible to inland flooding. In the case of coastal areas, the operation of port and storage facilities may be affected by gradual sea level rise, as well as higher storm surge during extreme weather events such as floods. Roads and railways are also susceptible to impacts in these areas, as well as impacts from inland flooding from increased precipitation. Run off can damage road and rail segments.

    The government over the years has worked hard to ensure sustainable development of Nigeria’s minerals resources sector with the promulgation of the Nigerian Minerals and Mining Act 2007; the Nigerian Mineral and Metals Policy 2008;  the Roadmap for the Development of Solid Minerals and Metals Sector 2012 and ‘On the Road to Shared Mining Prosperity: Roadmap for the Growth and Development of the Nigerian Mining Industry (2016)’. However there exist low hanging fruits that the solid minerals sector can adopt to mine these minerals for economic development without predisposing the environment to climate change. Maintaining healthy vegetation around mines sites is one such low hanging fruit. This helps to stabilize the ground as it reduces percolation of water and prevent erosion by water. Mine sites could be screened, landscaped and beautified to improve their aesthetic values. Maintaining healthy vegetation around mine sites ensures carbon sequestration (carbon storage) within the trees rather than having these carbons being released into the atmosphere. This is more effective if the vegetation cover is predominantly trees with very long life span. Mandatory Environmental and Social Impact Assessment for any project that has the potential to significantly affect the carbon budget around the locality of the project is also recommended

     

    • Martins Eke,

    Centre For Social Justice, Abuja.

  • Fed Govt eyes $600m investment in mining

    Fed Govt eyes $600m investment in mining

    The Federal Government hopes to secure $600 million investment fund for the mining sector by partnering the Nigerian Sovereign Investment Authority (NSIA) and Nigeria Stock Exchange (NSE).
    It was learnt it will conclude how the funds will be secured by second quarter next year.
    Minister of Mines and Steel Development Dr Kayode Fayemi said the government secured a $150 million support from World Bank for the Mineral Sector Support for Economic Diversification (MSSED) programme.
    He added that the fund will be used to provide technical assistance for restructuring the Mining Investment Fund, to make finance available to Artisanal Small Mining (ASM) operators through finance, micro-finance and leasing institutions.
    He said the fund would help bring back previously abandoned projects, such as tin ore, iron ore, coal, gold and lead-zinc.
    Fayemi spoke yesterday at a news conference in Abuja.
    He said the sector contributed N2 billion to Federation Account in 2016 from N700 million in 2015.
    “We are working with the Nigerian Sovereign Investment Authority, Nigeria Stock Exchange and others to assemble a $600 million investment fund for the sector, which we hope to conclude and operationalise by second quarter of 2017.
    “We have secured support from the World Bank for $150 million for the Mineral Sector Support for Economic Diversification (MSSED or MinDiver) programme, a critical component of which is to provide technical assistance for the restructuring and operationalisation of the Mining Investment Fund, which would make finance available to ASM operators through development finance, micro-finance and leasing institutions. The fund will also help to bring back on stream previously abandoned proven mining projects, such as tin ore, iron ore, coal, gold and lead-zinc.”

    “We are working to retrieve old data obtained on the various mineral deposits across the country, as well as enter into joint ventures with private exploration companies to generate new data from our Greenfield explorations.. We hope that analysis of this information will help to further buttress our speculations on the quantity and quality of mineral deposits in the country.

    “Our Nigerian Geological Survey Agency (NGSA) has undertaken additional ground investigations nation-wide to upgrade our National Minerals Database and to further ascertain the assays of our mineral assets to the level that can easily attract financial investments, and assure operators of the scope of operations required for further exploration and/or mining.

    “NGSA has also signed MoUs and Technical Cooperation Agreements with the China Geological Surveys, Shandong Mineral Exploration Agency and the National Office Hydrocarbons and Mines ‘ONHYM’ of Morocco. The collaborations are intended to leverage on the expertise and state-of-the-art technologies of these organizations in assisting Nigeria generate investor friendly geoscience data.

    “We have improved the productivity of the sector by tripling the ministry’s contribution to the federation account to about N2Bn in 2016, up from N700M in 2015.

    “The Ministry is also engaging world class exploration companies to collaborate with our data generating Agencies towards providing bankable data to attract big players in the mining sector.

    “The Ministry has also initiated discussions with SGS, a world renowned materials testing company, to activate the NGSA Laboratory Facilities in Kaduna towards achieving ISO 17025 accreditation within the shortest possible period. The objective is to significantly reduce the thousands of mineral samples being shipped abroad for analysis thereby reducing the huge revenue loss and correspondingly incentivize the mining sector.”

    END

  • 150 firms for mining summit next year

    One hundred and fifty companies and operators will participate in the National Mining Summit holding first quarter next year as part of plans by the Ministry of Mines and Steel Development to drive investment.

    Minister of State for Mines and Steel Development  Abubakar Bawa Bwari said this at the weekend at a joint news conference by the ministry and international partners on the mining summit .

    The minister said the exhibition and summit was a joint-venture between the ministry and Afrocet Montgomery, IMAG and Deloitte Consulting. It will hold at the International Conference Centre, Abuja, between April 25 to 27, 2017.

    According to Bwari, the summit will deal with an approved Mining Road Map as an international platform for the Federal Government to introduce a regime of robust mining legislation, pro-growth policies and supporting regulatory framework.

    He said this would create a globally competitive platform for stakeholders in the nation’s mining and mineral processing sector.

    Bwari added that the summit will attract key local, regional and international mining stakeholders; government functionaries, diplomats, policy makers, investment funds, financial institutions, consultants, mining operators and many others.

    Over 150 companies will showcase their products/services in custom-built exhibition booths.

    The minister said about 3,000 visitors are expected from West Africa Mining and Construction sectors.