The Federal Government has announced a new policy requiring mining companies to establish factories within Nigeria to process solid minerals, rather than exporting them for processing abroad. This initiative was revealed by Dele Alake, Minister of Solid Minerals Development, during a media briefing marking the one-year anniversary of President Bola Tinubu’s administration.
Alake emphasized that this policy underscores the administration’s commitment to developing the solid minerals sector. He also disclosed that the ministry has revoked the mining licenses of approximately nine thousand companies that had approvals but failed to utilize their licenses productively.
The minister asserted that the Tinubu administration is dedicated to transforming the solid minerals industry into a major economic sector that can rival the oil and gas industry, thereby creating a new wealth source for Nigeria.
Additionally, the Minister of Steel Development, Shuaib Audu Abubakar, announced that the federal government has approved the sourcing of $25 million to revitalize the Ajaokuta Steel Plant in Kogi State, beginning with the production of iron rods for the construction industry. Abubakar noted that the ministry is in the final stages of securing private sector funding to enable the plant to partially produce critical military hardware, which will reduce the country’s reliance on imports.
He added that the ministry is considering whether to re-engage the Russian firm that originally constructed the Ajaokuta Steel Plant or to partner with companies from China, India, and Nigeria to maximize the plant’s operations for the nation’s benefit.
