African mining market projected to reach $847.63bn by 2031, says report
Verified Market Research, has projected African mining market, valued at over $508.33 billion in 2024, will reach $847.63 billion by 2031, growing at a Compound Annual Growth Rate (CAGR) of 6.60 per cent during the forecast period.
The global research and consulting firm in a report indicated that Africa holds 30 per cent of the world’s mineral wealth, including unmatched reserves of cobalt, platinum-group metals, gold, and rare earth elements – minerals critical to the green, industrialisation and digital economy.
The report said demand for these minerals, driven by global industrial needs and emerging market growth, sustains and propels Africa’s mining sector. It noted that these resources attract substantial foreign investment from multinational mining companies seeking to capitalise on the high demand for these minerals in global markets.
The report stated that the rising prices of these commodities further incentivise exploration and extraction activities, making mining a critical sector for economic growth and development in many African countries, including Nigeria.
“These factors are driving the growth of the African mining market size to surpass $508.33 billion in 2024 to reach a valuation of $847.63 billion by 2031,” it said.
The research firm further stated that improvements in mining technologies and infrastructure are enhancing the efficiency and safety of mining operations, boosting productivity.
“Government initiatives and reforms aimed at creating a more conducive environment for mining investments, such as regulatory changes, tax incentives, and efforts to combat illegal mining activities, also play a crucial role,” it added.
“These efforts, combined with growing regional cooperation and partnerships are enabling the market to grow at a CAGR of 6.60 per cent from 2024 to 2031,” the report said.
The report comes as Nigeria’s mining sector recorded significant growth over the past decade, increasing its contribution to the National Gross Domestic Product (GDP) from less than 0.5 per cent to about 1.8 per cent.
Apparently encouraged by this growth, and of course, the Federal Government’s bold and sustained reforms, the Minister of Solid Minerals Development, Dr. Dele Alake, said Nigeria targets three per cent mining contribution to GDP in the coming years.
The minister made this known during a pre-event press briefing in Abuja ahead of the 10th edition of the Nigeria Mining Week, slated for 13–15 October, 2025.
Organised in partnership with the Miners Association of Nigeria (MAN), VUKA Group, and PwC Nigeria, this year’s conference is themed, “Nigeria Mining: From Progress to Global Relevance.”
It captures the mining sector’s ongoing transformation under President Bola Tinubu’s Renewed Hope Agenda, with Dr. Alake noting that the figures reflect tangible transformation within the sector.
Citing the rise in operational mines, increased private investment, and growing benefits to host communities, the Minister said “What once seemed far off — stronger data, higher investment, and more local processing — is now shaping the sector in real terms.”
“This 10th edition of the Nigeria Mining Week is not just a celebration — it’s a landmark that reflects our journey from obscurity to opportunity,” Dr. Alake added.
He outlined several key reforms driven by the ministry, stressing that Nigeria’s mining sector is now guided by structure, innovation, and private investment.
The Minister listed some of the major initiatives to include strengthening of the Solid Minerals Development Fund (SMDF) to stimulate private sector financing; comprehensive geological mapping and data digitisation to improve transparency and investor confidence.
Others are the deployment of mining marshals to combat illegal mining and safeguard communities; upgrading of the Mining Cadastral Office to ensure transparent and efficient licensing; introduction of a new Solid Minerals Development Roadmap, focusing on beneficiation, infrastructure, and local content.
