The Minister of Solid Minerals Development, Dele Alake, has disclosed that influential Nigerians engaged in illegal mining activities are responsible for the rising insecurity in regions with substantial solid minerals deposits. Alake revealed that these powerful individuals are not only creating an unfriendly environment for legitimate foreign investors but are also causing significant financial losses for the nation.
During a recent appearance before the House Committee on Solid Minerals to discuss the ministry’s 2024 budget estimate, Alake highlighted the need to identify and address the activities of these illegal miners. He explained that both kinetic and non-kinetic approaches are being employed to secure areas rich in solid minerals, ensuring a conducive environment for potential investors.
The minister emphasized the importance of small-scale miners forming cooperative societies, revealing that approximately 50 such cooperatives have already been established. Alake expressed optimism about the interest shown by foreign investors in the sector and identified about 44 key solid mineral deposits in Nigeria.
Alake argued that, with the right investment, Nigeria has the potential to become a global hub for solid minerals. However, he expressed dissatisfaction with the allocated budget of N29 billion for the ministry in 2024, describing it as a “non-starter.”
In a related development, the World Bank Country Director for Nigeria, Shubham Chaudhuri, conveyed the bank’s readiness to collaborate with the Ministry of Solid Minerals. During discussions with Alake, Chaudhuri emphasized the bank’s ability to provide financing and technical assistance for the development of the solid minerals sector.
Alake welcomed the collaboration with the World Bank and assured that the Federal Government is committed to creating an enabling environment for mining operations while ensuring maximum benefits for host communities and accruable revenue to the government through royalties and taxes. He reiterated Nigeria’s potential to make the solid minerals sector a significant contributor to its Gross Domestic Product (GDP).
