…Says FG attracted over $800m DFI investment from Nasarawa
Dele Alake, the minister of solid minerals development, says his ministry is not only adding critical value to service, but has also grown the revenue in the solid mineral sector, from N6 billion to N38 billion annually.
He said that, because of the positive effect of local value addition, the ministry has attracted over $800 million in Direct Foreign Investment (DFI) into the sector.
Alake revealed this at a stakeholders meeting, during President Tinubu’s one-day working visit to Nasarawa State to commission projects executed by Governor Abdullahi Sule.
“I met a total annual revenue in that sector of N6 billion. Given the president’s institutional support and back up for us in supporting our various initiatives and policy reforms, we have been able to grow this 6 billion to 38 billion in one year,” Lake said.
He said, since the establishment of the mines marshals a year ago, over 300 illegal mining operators have been arrested.
“Currently, we are prosecuting over 150 of them, and we have secured over 15 convictions of both local and foreign illegal operators in the sector.
He added that, with the support of the President, they were able to announce a value addition policy, “which means that, henceforth, no miner will be allowed to extract our raw minerals and export abroad without local value addition.
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“And this policy has generated a lot of salutary effects on the economy, such that the operators have been saying that we are serious.
He noted, with the pressure on them, with the President marching orders, “they are now converting their extraction model into factory construction implementation of the local value addition model. And Nasarawa State, Your Excellency, has been in the forefront of this,” he added.
On the internally generated revenue from the sector, Alake said that is why Nasarawa State has become known as the solid mineral state of Nigeria.
“Currently, because of the positive effect of this local value addition policy, in Nasarawa State alone, we have attracted over $800 million in direct foreign investment into the sector.
“And, Your Excellency, only three days ago, I sealed another historic deal of a $400 million rare earth minerals and critical metals plant, which is the largest in Africa, and to be cited in Nasarawa State.
“Africa’s largest rare earth mineral is, however, going to generate, at completion, over 10,000 jobs. And so, we have asked them to put their separation centres in other geopolitical zones of the country, so that all parts of Nigeria will benefit from these landmark achievements.”
Alake emphasised that his ministry will continue to add critical value to our services by protecting mining investments through the establishment of a mining marshal, logistics support for mine surveillance and the satellite monitoring project, which Your Excellency approved graciously for us.
We are reducing the threats that illegal miners pose to legitimate miners by encouraging artisanal miners to form cooperatives and get permits to mine legitimately.
He explained that, in the last two years, “we have registered over 250 artisanal mining cooperatives in Nigeria and they have become formalized, structured, identifiable and of course, enhanced their businesses so they can be able to attract financial loans and obtain monetary injection into that sector and of course, this has all combined to increase the revenue that has accrued to that sector.
“In the last two years, we have revoked over 2,000 licenses for sundry offences ranging from defaulting in payments of taxes of royalties of fees due to the federal government or due to domancy, amassing licenses without utilising these licenses, thereby preventing genuine investors from coming into this solid mineral sector.
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“We reduced the cost of licenses to ensure that only financially serious investors and focused businessmen enter the sector. We have sanitised the licensing processes through digitisation and the Decision Support System (DSS), and this has made licensing processes very attractive to investors both locally and internationally.
On the challenges faced in the last two years when President Tinubu came on board, the Minister said, “There is no success without struggle. We have also confronted challenges, especially from pushbacks.
“The mine marshals, because of their uncompromising stance against illegal mining operations, have been blackmailed. They have been subjected to all kinds of harassment.
“And in spite of the whaling of the messiah, in spite of the deteriorations of the natural levels of negativism, in spite of those who are coupling together coalition to perdition, Mr. President has put his hands on the plough and there’s no looking back.
Governor Abdullahi Sule of Nasarawa State, in a remark, thanked the Minister Dele Alake for always working with the President to ensure, Nasarawa State attracts more of the processing industries.
He, however, appealed to President Tinubu to expedite action in the exploration of an oil well in Obi Local Government Area of the state.
“So far, in 2023, there is an exploration well that is going on in Obi Local Government Area of the state. There has been a discovery of hydrocarbons that has been in excess of one billion in that site,” he said.
