Nig Sitting On Solid Minerals Worth $750b- Alake

Minister of Solid Minerals Development, Dr. Dele Alake says a preliminary report by a German firm indicates that Nigeria is sitting on solid minerals worth about $750bn.

Dr. Alake stated this at a mining summit jointly organized by the National Institute for Policy and Strategic Studies (NIPSS) and a firm in Abuja.

He stressed that the mining sector holds great promises for Nigeria, as it has the potential of becoming a key contributor to the economy.

“We are working with the World Bank and a German company, to get the necessary data on the sector. That is why the federal government signed a memorandum of understanding with the firm which conducted a preliminary survey of minerals. They gave us a figure of $750bn worth of minerals embedded under the ground of Nigeria” he added.

The Minister added that one of the critical factors in the ministry’s seven point agenda is local value addition, stating that it will create employment, more value, and beneficiation for local communities where the Minerals are sourced.

“That is a conservative estimate. By the time we conduct a serious, accurate data exploration, we will discover that we have trillions of solid minerals embedded under. So, the president’s projection of a one-dollar economy is not a fluke. By the time we are done with all of these efforts, input and policies we are putting in place, trillions of naira will be a child’s play and we will be nudging trillions of dollars”.

Alake further added that the availability of data is also important for attracting investors into the sector which is significant to the growth of the economy.

The Minister added that part of its reform is establishment of the Nigerian Solid Minerals Corporation.

“When I first read this, a lot of people were taken aback and skeptical because what rang in their mind was NNPC, that is we are going to establish something similar like NNPC, which is a quasi- government venture. But no, the proposed corporation is vastly different in nomenclature, structure and operation”.

He added that establishment of the corporation is before the National Assembly and when in place will be driven by the private sector.

“We are proposing 50 percent of the equity entirely to the private sector, 25 percent to Nigerians at large and 25 percent to the government.”

Earlier, the Governor of Nasarawa State, Abullali Sule said investment in solid minerals is the way to go.

He said lithium is the new gold and Nigeria has abundant of it, adding that the biggest lithium processing factory will soon be commissioned processing 4,000 metric tons a day and transporting over a million tons of lithium a year.

On his part, the Director General of NIPSS, Ayo Omotaya, said the summit was organised to chart a way forward for the mining sector.

Similarly, the Former minister of information, Alhaji Lai Mohammed said the summit will provide grounds for stakeholders in the mining industry to address challenges affecting the sector.

By Georgina Humphrey, Edited By Grace Namiji