Nigeria’s solid minerals sector has attracted more than $2.6 billion in mining-related investments within the last two years, a development the Minister of Solid Minerals Development, Dele Alake, says reflects the country’s gradual shift from oil dependence to industrial production under the administration of President Bola Ahmed Tinubu.

Speaking at a joint stakeholders sensitisation meeting organised by the Nigeria Revenue Service and the Ministry of Solid Minerals Development for the North-Central zone in Abuja, Alake said the government’s reforms have started repositioning Nigeria from a consumption-driven economy to one focused on productivity, local value addition and industrial growth.

The meeting, themed “From Resource to Revenue: Aligning Solid Minerals Operations with the 2025 Tax Reform Act,” brought together operators, regulators and industry stakeholders to strengthen collaboration and improve compliance with the new royalty and tax administration framework in the mining sector.

According to the minister, Nigeria’s economic challenges over the years were worsened by dependence on oil revenue and import-driven consumption following the collapse of the mining industry after the oil boom.

“Our colonial masters built rail lines primarily to support mining activities and move mineral resources. Unfortunately, after independence and the oil boom happened to us, the mining sector collapsed while the nation became heavily dependent on oil revenue and import-driven consumption,” he said.

Alake stated that prior to 2023, the country was borrowing to pay salaries, leaving little room for infrastructure and capital development because government resources were largely spent on recurrent expenditure and fuel subsidies.

“Nigeria was borrowing to pay salaries before 2023. There was little room for capital development because resources were being used largely for recurrent expenditure and fuel subsidy payments that became unsustainable,” he said.

He noted that the Tinubu administration moved quickly after assuming office to block leakages, reform critical sectors and lay the foundation for long-term economic growth.

The minister disclosed that the solid minerals sector has become a key pillar of the government’s economic diversification agenda, adding that the country is already witnessing major investments in mineral processing and local value addition.

“We now have a $600 million lithium processing factory awaiting commissioning in Nasarawa State and another $200 million lithium facility near Abuja. Gold processing plants and other mineral beneficiation factories are also springing up across the country and our people are being employed,” he said.

Alake stressed that the Federal Government is no longer interested in the export of raw minerals without domestic processing, saying the ministry has introduced reforms to improve ease of doing business, strengthen licensing processes, expand geoscience data generation, formalise artisanal miners and sanitise the sector to attract responsible investors.

On efforts to curb illegal mining, the minister revealed that more than 300 illegal mining operators, including foreign nationals, have been arrested, while over 150 prosecutions are ongoing nationwide.

He added that more than 100 illegal mining sites have been recovered and returned to legitimate owners to restore investor confidence and strengthen lawful operations in the sector.

According to him, the reforms are aimed not only at increasing government revenue but also at creating jobs, boosting exports and driving industrialisation across the country.

Alake also commended operators and stakeholders for complying with licensing obligations, royalty payments, environmental standards and responsible mining practices.

“That is why this engagement is important. We want continuous dialogue with operators and stakeholders. Our vision is built on partnership, transparency, education, and shared prosperity because when the sector succeeds, you all win and Nigeria succeeds,” he said.

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