FG generates N7bn in mining fees – Minister Alake reveals
…registers 118 buying centres in Q1
The Federal Government generated N6.96 billion in mining-related fees and registered 118 new private mineral buying centres in the first quarter of 2025, the Minister of Solid Minerals Development, Dr. Dele Alake, has disclosed.
Speaking at the second Annual Mining Conference organised by BusinessDay newspaper in Abuja, Dr. Alake said the figures are a result of intensified efforts to increase awareness and attract investments to Nigeria’s mining sector. He said the fees were collected through 955 applications for mining titles.
According to him, the applications comprised 651 for exploration, 270 for small-scale mining, 49 for quarrying, and 24 for reconnaissance permits. Of these, the Ministry approved 867, including 512 exploration licenses, 295 small-scale mining leases, 60 quarry leases, and five mining leases.
The revenues, he explained, came from application processing fees, title renewal charges, and annual service fees. He added that the Mining Cadastral Office (MCO) has also strengthened its conflict resolution mechanisms to address overlapping claims and litigation related to ownership disputes.
The minister announced that the government is close to finalising plans to establish the Nigerian Solid Minerals Corporation, which will serve as a special-purpose vehicle to drive large-scale investments in the sector. The corporation will be structured in collaboration with the Ministry of Finance Incorporated (MOFI), with equity distribution of 25% each for Nigerian citizens and the government, and 50% for the private sector.
Dr. Alake also highlighted the Ministry’s impressive revenue performance, revealing that it surpassed its 2024 target of N11 billion by generating N38 billion—exceeding the projection by N27 billion. He said this underscores the effectiveness of ongoing reforms and strategic partnerships.
He cited international collaborations as vital to the sector’s progress, noting that France will equip the Nigeria Geological Survey Agency’s (NGSA) laboratory and train young geologists abroad. He also revealed that Western Australia has approved regular training for Nigerian mining professionals, with the first batch scheduled to depart next month.
Further agreements, including a new memorandum of understanding with South Africa for capacity building in geology, and investment interests from British and Saudi partners, are helping to build a more resilient sector. Alake concluded by stressing that value addition remains central to Nigeria’s mining vision, pointing to upcoming commissioning of lithium, bauxite, and gold refining plants as proof of progress.
