The Managing Director of Silicon Valley Nigeria Economic Development (SV-NED) Mining Company Limited, Captain Dada Olaniyi Labinjo, has stated that Nigeria has the potential to generate over N37 trillion annually from mining if the sector is properly harnessed and developed.
According to Labinjo, the mining industry can significantly boost Nigeria’s economy through job creation, revenue generation, and infrastructural development. He noted that the sector could provide employment opportunities across various fields such as geology, engineering, and environmental management while also generating substantial revenue for the government through taxes, royalties, and fees. “Mining can significantly boost the economy of Nigeria in several ways,” he said.
Speaking on the role of SV-NED in the sector’s development, Labinjo emphasised the company’s commitment to driving growth in the mining industry. He made these remarks during a media briefing on Monday, following the company’s management visit to the Onigbeti of Igbetiland, Engr. Bashir Olalekan Abioye (Siyanbola 1), and the Seriki of Igbetiland, Chief Emmanuel Ayodele Adediran, in Oyo State.
“It can boost revenue generation as Nigeria can earn over N37 trillion annually from mining if it is well developed. Mining can generate significant revenue for the Nigerian government through taxes, royalties, and fees. It can increase government revenue through taxes as mining companies are subject to various taxes, including company income tax, value-added tax, and withholding tax,” he added.
Mining as a Driver of Economic Diversification
Chairman of SV-NED, Ambassador Temitope Amina Labinjo-Ajayi, commended President Bola Tinubu’s Renewed Hope Agenda, stating that the government’s efforts will positively transform Nigeria. She highlighted that mining could play a crucial role in diversifying Nigeria’s economy, reducing dependence on oil, and promoting economic stability.
Labinjo-Ajayi further pointed out the infrastructural benefits of mining activities, noting that they necessitate the construction of essential facilities such as roads, bridges, and energy supply systems, which can also benefit local communities and other industries.
“Mining will boost foreign exchange earnings. Mining can generate foreign exchange earnings for Nigeria through the export of minerals, helping to stabilise the country’s currency and improve its balance of payments,” she said.
She also emphasised the importance of local content development, responsible mining practices, and environmental sustainability, adding that “mining can stimulate economic growth by attracting investment, promoting economic diversification, and creating jobs.”
In response, Chief Emmanuel Ayodele Adediran expressed enthusiasm about SV-NED’s mining activities in Igbetiland, noting that the project would drive economic development, skill acquisition, and infrastructural growth in the region. He also urged the government to establish a University of Agriculture in the area to harness its agricultural, mining, and skill-development potential.
Additionally, Adediran appealed for the renovation of a local hospital, lamenting that it had remained unequipped for over 50 years. “I am happy with SV-NED coming to do mining partnership with us. It is going to improve the town,” he said.
