FG sets deadline for mining firms to sign community agreements
The Federal Government has given mining and quarrying companies licensed since 2023 until December 31, 2025, to finalize Community Development Agreements (CDAs) with their host communities or face sanctions.
The Minister of Solid Minerals Development, Dr. Dele Alake, announced the deadline on Thursday, after reviewing compliance reports from the Mines Environmental Compliance (MEC) department. The report revealed that only 24 CDAs were signed in the first half of 2025, despite the issuance of 74 new mineral titles.
In 2023 alone, the Mining Cadastral Office (MCO) issued 1,388 titles, including 960 Small-Scale Mining Licences, 391 Quarry Licences, and 37 Mining Leases. These titles require companies to sign CDAs before commencing extraction, yet only 342 agreements have been signed to date.
Dr. Alake expressed concern over the gap between issued titles and signed CDAs, stressing that responsible mining must align with international Environmental, Social, and Governance (ESG) standards. He warned that companies that fail to comply after the deadline will have their licences revoked and may be required to pay reparations.
“We will not allow companies to mine without first engaging their host communities. Refusal to do so is criminal expropriation and will not be tolerated,” the Minister stated.
Alake also advised host communities to form negotiation teams that include retired professionals to secure sustainable projects that benefit youth, women, and the wider population. He cautioned traditional rulers against demanding personal favours or endorsing substandard contractors.
The Minister praised Dr. Vivian Okono, Director of the MEC department, for shutting down three companies—Istanbul, Venus, and Cornerstone—last month for delaying CDA negotiations with their host communities.
“That should be a clear signal that it is no longer business as usual,” Alake said.
