•Says directive will position Nigeria as leader in critical metals
From Terhemba Daka and Ernest Nzor, Abuja
President Bola Tinubu, yesterday, instructed the Federal Ministry of Solid Minerals Development to only issue mining licences if they are tied to local value addition.
The directive, according to President Tinubu, is to ensure that young Nigerians are actively engaged in economic activities, acquiring skills and contributing to the overall development of the economy.
Tinubu spoke during the opening session of the African Natural Resources and Energy Investment Summit, 2024, held at the State House Conference Centre, Abuja.
Represented at the event by Vice President Kashim Shettima, the President assured that his administration was fully committed to creating an enabling business environment, which would attract investment and encourage ‘value addition’ on solid minerals before they are exported.
“We recognise the losses incurred from exporting crude mineral commodities and understand that it is time to change this narrative. By doing so, we aim to ensure that our teeming youth are actively engaged in economic activities, acquiring skills, and contributing to the nation’s foreign exchange earnings. Therefore, the ministry will only issue mining licenses if they are tied to local value addition,” he noted.
Tinubu further noted that his administration’s target in the solid minerals sector is “to make Nigeria a leader in critical metals.”Commending stakeholders for the establishment of the African Minerals Strategy Group with Nigeria as the first chairman of the initiative, Tinubu said: “We aim to set new standards in the mining industry and ensure that Africa gets an equitable slice of supplying the world with critical metals.
“In our transition to cleaner and more sustainable energy systems, we also recognise the pivotal role that natural gas plays. Natural gas is a transition fuel that will fundamentally restructure our nation’s economy.”
In leveraging opportunities in the renewable energy space, Tinubu explained that Nigeria attracted over $2 billion in investment in the renewable energy sector, making it a fast-growing sector in the economy.
“Our commitment is to continue this trajectory and attract more private sector involvement in the renewable energy space, including manufacturing locally produced solar panels and batteries,” he added.
Earlier in his opening remarks, the Minister of Solid Minerals Development, Dele Alake, announced the government’s strategy under the Renewed Hope Agenda to position Nigeria as a major player in the global minerals market.
“We are committed to transforming Nigeria’s solid mineral sector into a cornerstone for our nation’s economic diversification,” he said.
The minister noted that the government was implementing wide-ranging reforms to create a more attractive environment for investors, with a focus on enhancing transparency, regulatory clarity, and investor confidence.
The plan, he explained, encompasses several key areas, including policy reforms, sustainable practices, infrastructure development, and human capital enhancement. These initiatives are designed to address longstanding challenges in the sector and unlock the full potential of Nigeria’s vast mineral resources.
