The administration of President Bola Tinubu has significantly improved revenue in the solid minerals sector, with reforms and policies under Minister of Solid Minerals Development, Dr. Dele Alake, driving a threefold increase in earnings over the last two years.
According to Segun Tomori, Special Assistant on Media to the Minister, revenue from the sector rose from N16 billion in 2023 to N38 billion in 2024 and is projected to surpass N70 billion.
Tomori highlighted that Alake implemented a seven-point agenda upon assuming office, including revoking licenses of non-performing operators—1,633 in late 2023 and another 924 in early 2024—to create opportunities for serious investors.
“These reforms have attracted both local and foreign confidence, with lithium processing plants emerging and a $400 million rare earth metals project planned. Close to $1.5 billion in Foreign Direct Investment has been drawn to the sector since 2023,” Tomori said.
Other initiatives include revising Community Development Agreement guidelines to ensure host community consent in license applications, establishing mining marshals to combat illegal mining—with over 300 illegal miners apprehended—and preparing nationwide satellite monitoring of mining sites in 2026.
The minister also introduced a cooperative federalism approach, enabling states to apply for mining licenses and operate as limited liability companies, resulting in joint ventures in Nasarawa, Kaduna, Abuja, and Oyo.
Nigeria’s push for local value addition has led to the creation of the Africa Minerals Strategy Group, with Dr. Alake elected as its pioneer chairman, positioning the country as a leader in Africa’s mining renaissance.
Reforms to improve ease of doing business include launching the Nigeria Minerals Decision Support System, a web platform providing investors with geo-scientific and geo-economic data.
Tomori concluded that while the projected N70 billion revenue is unprecedented, it represents only a fraction of the sector’s potential, with the federal government determined to consolidate these gains in 2026 and make solid minerals a major contributor to Nigeria’s GDP.
