The Federal Government of Nigeria has revoked a total of 924 inactive mining licenses.
In a statement released by Dele Alake, the Minister of Solid Mineral Development, he said the nullified licences are 528 exploration licences, 20 mining leases,101 quarry licences, and 273 small-scale mining licenses.
Minister Alake accused some miners of facilitating a black market for acquiring mining titles, which has reportedly misled investors and discouraged legitimate investment in the sector. The measure, he emphasized, aims to sanitize the licensing system and penalize those involved in commercializing mineral opportunities.
Under the new directive, the revoked licenses are now open for new investors to apply on a “first come, first served” basis. Additionally, owners of the revoked licenses have a 30-day window to redeem them by paying a fee of N10 million.
This action comes as part of broader reforms in the mining sector initiated by the Nigerian government. In November 2023, over 1,600 mining titles were revoked due to non-payment of statutory fees, signalling the government’s commitment to enforcing regulations and promoting transparency in the industry.
Despite being Africa’s largest oil producer, Nigeria aims to diversify its economy by tapping into its abundant solid mineral resources. The government has been actively seeking to attract investors to the underdeveloped mining sector by offering incentives such as tax waivers.
Moreover, the Ministry of Solid Minerals recently launched a security outfit to protect areas with solid minerals from terrorist threats, aiming to create a conducive environment for investors in the sector.
The move to revoke mining licenses underscores Nigeria’s determination to foster a transparent and sustainable mining industry, essential for economic diversification and revenue generation beyond the oil sector.
Join our Channel...