From Charity Nwakaudu, Abuja
The Minister of Solid Minerals Development, Dr Dele Alake, has appealed to the Senate for increased funding to enhance the ministry’s capacity to conduct a detailed exploration of Nigeria’s vast mineral deposits.
Speaking at the opening session of the Senate Committee on Solid Minerals’ investigative hearing, Alake identified insufficient funding for exploration and insecurity as the main challenges hindering the development of the mining sector, limiting its potential as a key driver of economic diversification.
Alake lamented the country’s low investment in mining exploration, citing figures from Standard & Poor’s report that showed Nigeria invested $2.5 million in 2023, compared to Ivory Coast’s $147 million and Congo’s $133 million.
“When we compare the exploration budgets of other African countries with ours, it is depressing,” Alake stated. “According to Standard & Poor, as of 2023, Nigeria’s investment in exploration was $2.5 million dollars against $147 million of Ivory Coast and $133m of Congo. In our determination to compete, we had proposed a budget of N70 billion to invest in exploration that would cover the entire Nigerian landscape. Going by the budget of the Year 2024, our capacity to move at our desired speed may be undermined. We need your support to fund exploration and kit our personnel to regulate the sector.”
Highlighting efforts to combat illegal mining, the minister informed the senators about the recently unveiled 2,220-strong Mining Marshals, with 60 operatives deployed in each state and the FCT.
According to Alake, there are four categories of illegal miners: unlicensed miners; licensed miners operating outside their designated areas; licensed miners extracting unauthorized minerals; and miners operating with licenses restricted to Nigerians. He estimated that the country loses over $9 billion annually to illegal mining.
In addition to the Mining Marshals, Dr. Alake revealed ongoing advocacy efforts through Artisanal and Small Miners (ASM) extension officers and a nationwide radio campaign spanning 113 stations. These initiatives aim to discourage illegal mining and encourage artisanal miners to form cooperatives and enjoy the benefits of legalization. As a result, 152 cooperatives have already been formed across the country, aligning with the minister’s 7-point Agenda.
In line with the Federal Government’s new value-addition policy, Alake hinted at the imminent establishment of six additional processing centres across the geo-political zones. He emphasized that effectively equipping the Mining Marshals and implementing other ministry reforms will require legislative backing for necessary statutes and improved funding.
Declaring the investigative hearing open, Senate President, Sen. Godswill Akpabio, commended the minister for his personal attendance, noting that it demonstrated the presidency’s commitment to making solid minerals the cornerstone of economic diversification.
Sen. Akpabio advocated for concerted efforts by the executive and legislature to curb resources lost through illegal mining and other nefarious activities.
The Chairman of the Senate Committee on Solid Minerals Development, Senator Ekong Sampson, stated that the 3-day investigative hearing aimed to unravel the challenges hindering the development of the mining sector despite the vast mineral deposits across the country.
“We want to look at the challenges and see what we can do, together with the executive, to address these bottlenecks and ensure that solid minerals contribute substantially to our economy,” Sen. Sampson added. “Nigeria is blessed with vast mineral deposits. The time is now to harness these God-given resources for the benefit of all Nigerians.”