…registered artisanal miners co-operatives hit 2,329
Dele Alake, the minister of Solid Minerals Development has said that the federal government will hold not more than 25 per cent of the N1 billion share capital of Nigerian Solid Minerals Corporation.
This is as the minister disclosed that the process of creating the legislation for the institution has begun.
Alake who was the keynote speaker at the BusinessDay Solid Minerals Conference held in Abuja on Tuesday, explained that the Nigerian citizens will by public shares hold 25 per cent and private investors, each with a maximum of 10 per cent of the shares.
He said, “Central to our efforts to reposition the sector is the establishment of a private-sector driven, Nigerian Solid Minerals Corporation. This is as the minister noted that the process of creating the legislation for the institution has begun. On February 12 and 13, 2024, the Solid Minerals Committee of the House of Representatives will hold the first policy dialogue on the proposed law to create the corporation.
“In working with the legislature to establish the legal and legitimate foundation for the institution, our resolve to ensure that a share structure in line with a private sector- led strategy in which the Federal Government will hold not more than 25 per cent, the Nigerian citizens will, by public shares hold 25 per cent and private investors, each with a maximum of 10 per cent of the shares of the N1billion share capital, will be achieved.”
He said that learning from the pitfalls of the defunct Nigerian Mining Corporation, the government will ensure that the new company operates according to the values of the market by reducing unnecessary intervent while driving decisions solely for profitability and capital formation in the sector.
He noted that the campaign against illegal mining and call on artisanal miners to form co-operatives and get government recognition, support and a legal basis to mine was yielding fruits.
According to him, to date, there are 2,329 registered artisanal miners co-operatives in the country, adding that about 123 co-operatives were registered in 2023.
“It is significant that 77 of 123 opted for registration following my appeal to them to join hands with the Federal Government. The Ministry provides extension services to these co-operatives by improving their bookkeeping skills and drilling techniques. I wish to further urge artisanal miners to come together and register as co-operatives.
“To ease the operations of this sub-sector, the Ministry has licensed 986 buying centres across the 36 states of the Federation. Plateau, for obvious reasons of its long mining history, has 315 centres followed by Federal Capital Territory, 224 and Lagos, 108,” he said.
“Efforts are also being made to improve the Nigerian Mining and Minerals Act 2007 to accommodate the changes over the years and make it more amenable to national priorities.
“Meanwhile, the Ministry continues to facilitate the processing of applications for permits to refine minerals and to process and purchase. Last year, no fewer than 499 licenses were granted to applicants involved in the business of purchasing and sales of minerals.
“Predictably, applications for the purchase and sale of Lithium topped the list with 146 licences, followed by Gold, 91; Tin, 46 and Coal, 32. Other minerals for which licences were granted include Tantalite, Iron Ore, Kaolin, Feldspar, Beryl, baryte, Columbite, Mica and Aquamarine,” he said.
In his remarks, Charles Anosike, the director general of the Nigerian Meteorological Agency (NiMet) noted that mining activities are mostly vulnerable to weather conditions, as mines are often located in geographically and climatically challenged locations.
Represented by Obende Eleazer, assistant general manager/public relations at NiMet, Anosike stressed that weather conditions impact mining operations, posing risks that can compromise workers’ safety and lead to disruption in productivity.
He said, “As the climate changes, extreme events are growing in frequency and bringing challenges to mining safety, productivity and profitability. It is however interesting to note that the federal government is already taking some actions in this regard.”
Speaking on the roles of NiMet, he said, “For risk mitigation; accurate meteorological data helps in assessing and mitigating risks associated with extreme weather events such as storm floods etc. This is critical in minimising potential damages to infrastructure and ensuring the safety of personnel.
“Meteorological information supports effective planning and optimization of mining activities, including scheduling operations based on favourable weather conditions and managing inventory efficiently. Weather-related disruption can significantly impact the supply chain logistics of the solid minerals industry.”
Speaking further, he noted that NiMet’s establishment Act 2022, gives it the impetus as a regulator of all aspects of meteorology in Nigeria to commercialize meteorological data by partnering with the private sector
