FG revokes 1,263 mineral licences over service fee default

Kunle Sanni –

The Federal Government has revoked 1,263 mineral licences for failure to meet statutory annual service fee obligations, in what it describes as part of efforts to sanitise the mining sector and discourage speculative practices.

The revoked licences include 584 exploration licences, 65 mining leases, 144 quarry licences, and 470 small-scale mining leases, according to figures released by the Mining Cadastral Office (MCO).

Minister of Solid Minerals Development, Dr Dele Alake, who approved the revocations based on MCO’s recommendation, said the decision was aimed at ensuring only serious investors remain active in the industry.

“The era of obtaining licences and keeping them in drawers for the highest bidder while financially capable businessmen are denied access is over,” Alake declared. “The annual service fee is the minimum evidence that you are interested in mining.”

The minister added that the revocation did not absolve licence holders of their outstanding debts, noting that the list of defaulters would be forwarded to the Economic and Financial Crimes Commission (EFCC) for recovery and possible prosecution.

According to the Director-General of the MCO, Engr Simon Nkom, 1,957 licences were initially marked for revocation after the intention was published in the Federal Government Gazette on June 19, 2025. He explained that the final number was reduced following reconciliations with some operators who provided proof of payment.

With the latest action, the Tinubu administration has now revoked a total of 3,794 mineral titles, including 619 cancelled last year over fee defaults and 912 withdrawn due to dormancy.

The ministry said the move would open up the revoked areas to fresh applications from credible investors, thereby stimulating growth in the solid minerals sector.