The Federal Government, in partnership with key players in the mining sector, has agreed to review mining licence rates following a three-hour meeting aimed at aligning the sector with current market realities and enhancing the management of Nigeria’s mineral resources.
Segun Tomori, Special Assistant on Media to the Minister of Solid Minerals Development, announced that stakeholders have been given the go-ahead to propose adjustments to royalty rates for minerals whose market values have fallen below official estimates.
Dr. Dele Alake, the Honourable Minister of Solid Minerals Development, emphasised that revising mining licence rates is essential for the government to recoup investments made in upgrading the sector’s infrastructure. The changes are also designed to discourage speculators who hold mining titles without engaging in active operations.
Dr. Alake further revealed that additional measures, such as deploying satellite imaging, are being implemented to clean up the industry, attract reputable investors, and assist the Mining Marshals in combating illegal mining and prosecuting offenders.
To boost morale and performance within the sector, the minister announced the redeployment of federal mine officers. Officers who fail to meet their duties will face appropriate disciplinary actions.
Addressing stakeholder concerns over state government interference—such as shutting down licensed mining operations and duplicating federal regulations—Dr. Alake assured that discussions with state governors and the Nigerian Governors Forum (NGF) are ongoing. He noted that a joint task force from the Ministry and the NGF is working to resolve these issues and promote cooperation.
The minister approved transferring the N2.5 billion mining sector support fund from the Bank of Industry to the Solid Minerals Development Fund (SMDF). This transfer aims to facilitate easier access to funding for indigenous miners by offering more favorable terms.
Dr. Alake thanked the stakeholders for their frank discussions and reiterated the Ministry’s commitment to holding quarterly interactive sessions to maintain open dialogue and gather feedback on the sector’s progress.
Earlier, Chief Dele Ayanleke, President of the Nigerian Miners Association, presented a 10-page position paper addressing several concerns, including the adverse effects of state regulations on mining, the operation of mining marshals, the need for value addition, the review of rates, and the exclusion of stakeholders from the review process of mining laws by the National Assembly.
The meeting was attended by key officials, including the Permanent Secretary, Dr. Mary Ada Ogbe, the Director-General of the Mining Cadastral Office (MCO), Engr. Simon Nkom, and the Special Adviser to the Minister, Hon. Kehinde Bamigbetan.
Signatories to the stakeholders’ position paper included notable representatives from various mining-related organisations such as Professor Akinade Olatunji (Nigerian Mining & Geosciences Society), Hon. Kelvin Dele Oye (NACCIMA), Amb. Regina Ike-Edzuwah (Women in Mining in Nigeria), Dr. Albarka Hassan (Nigerian Society of Mining Engineers), Mr. Patrick Odiegwu (Association of Miners & Processors of Barite), Mr. Seun Olatunji (Lagos Chamber of Commerce and Industry), Alhaji Sanni Shehu (ECOWAS Federation of Chambers of Mines), and Engr. Adeniran Ajibade (Gemstones Miners and Marketers Association of Nigeria).