The Nigeria Extractive Industries Transparency Initiative (NEITI) announced that Nigeria’s solid mineral sector generated N345.41 billion in revenue for the federal government in 2022. NEITI’s 2022-2023 report showed the sector contributed N1.66 trillion to Nigeria’s GDP, representing 0.8% of the total GDP.
NEITI Executive Secretary Dr. Orji Ogbonnaya Orji, presenting the NEITI 2022-2023 Solid Minerals Report, highlighted the sector’s potential to expand and significantly impact Nigeria’s economy. He stressed the importance of addressing discrepancies between government revenues and company payments and identified Ogun, Kogi, and Rivers States as leaders in mineral production, with Ogun contributing N966.83 million in royalties.
Orji disclosed that 1,619 companies owe the government N680.3 million in unpaid fees. He emphasized the need for improved oversight, reform, and transparency to ensure the sector’s growth and economic impact. Industry experts praised the report for promoting accountability and transparency.
Orji noted, “The report underscores the need for stakeholders to unlock the sector’s potential. The solid mineral sector’s growth prospects are promising, with Nigeria’s mineral resources offering significant economic opportunities.”
However, he acknowledged challenges, including inadequate infrastructure, regulatory issues, and environmental concerns. NEITI called for stronger collaboration among government agencies, companies, and communities to address these obstacles. Their efforts have led to the development of a data centre to consolidate information and improve transparency.
The Minister of Solid Minerals Development, Dr. Dele Alake, represented by SMDF Executive Secretary Hajia Fatima Shinkafi, emphasized that the report marks the government’s commitment to building an economy where mineral resources drive diversification, generate sustainable revenue, and support national development. Alake stressed the Ministry’s commitment to policies and reforms aimed at making the solid minerals sector a major economic pillar, creating jobs, fostering sustainable development, and increasing resilience.
Alake outlined new policies to attract investments and create a stable regulatory framework, such as the National Mineral Resources Development Policy, which promotes sustainable mining, environmental protection, and resource optimization. He also highlighted reforms to improve licensing and encourage responsible mining.
National Miners Association President Dele Ayanleke commended NEITI’s efforts, noting the sector’s potential to create jobs and develop local industries. He stressed the importance of strategic exploitation and effective management of mineral resources and highlighted the need to address sector challenges, particularly security concerns, to allow the sector to reach its full potential.