The Federal Government says it will consolidate on the gains of the recently launched made-in-Nigeria barite by establishing an Open Market Place Portal that will guarantee global access of prospective investors to trade information on the commodity.
Minister of Mines and Steel Development, Arc Olamilekan Adegbite who gave the assurance during the launch of the made-in-Nigeria barite, on Thursday, in Port Harcourt said the ‘portal will connect all stakeholders along the Barite value chain to a hub that allows for easy coordination, stocking, effective costing and seamless sale of Barite,’ adding that the ministry would assume the role of coordinating the entire process.
‘This open market place solution will be integrated with the TSA payment system to ensure that government revenue is remitted immediately to the TSA account in line with the Federal government TSA guidelines,’ he said.
Discussing the gains of the initiative, the minister said it will accelerate the development of the sector along the Barite value chain as well as increase revenue to Government through payment of royalty.
According to him, the portal will conserve foreign exchange which used to be spent on importing barite, while also creating jobs and wealth along the barite value chain, especially in the local communities where the barite is mined and processed.
He explained that the open portal will further promote local content development in line with federal government policy.
Minister of State for Mines and Steel Development, Dr Uchechukwu Sampson Ogah said the birth of locally mined and processed barite signifies a new beginning in the actualisation of the ministry’s mandate of prioritising the development of the seven strategic minerals as encapsulated in the Roadmap for the Growth and Development of the Nigerian Mining Industry.
He said the ministry is committed to diversifying the Nigerian economic base through Agriculture and Mining, and adopted the downstream value chain policy as a way to ensure production of value-added mineral products instead of the usual export of mineral ores.
‘In our commitment to deliver on Mr. President’s mandate, we have not only re-jigged our Vision and Mission but have developed and adopted new reform initiatives and innovative strategies necessary for ensuring optimal performance and sustainable growth in the minerals and metal sector.
‘These policy measures are aimed at strengthening the sector’s capacity to produce the needed mineral raw materials for industrialization and economic development of the nation to create wealth and generate employment opportunities.
‘There is no gainsaying the fact that Nigeria is blessed with abundant natural resources. Indeed, Barite is just one among the over 44 solid mineral types occurring across the length and breadth of the country, which have mostly remained under-developed. It is gratifying that the Ministry’s investment in exploration activities and capacity building targeted at sustainable production of Nigerian processed Barite has finally paid off.
He said the launch showcases the local capacity for production of processed barite in the right quality for our local demands and put an end to decades of its importation into Nigeria, which will in turn impact positively on the country’s balance of trade.
‘Today’s auspicious event will entail an open marketplace portal that will connect all stakeholders along the Barite value chain (Miners, Processors, Bagging Companies, Quality Assurance Experts and End-users) to a hub that allows easy coordination, stocking, improved quality, effective costing and seamless sale of Baryte.
He disclosed that the effort of government to harness the artisanal and small-scale barite mine produce has led to the setting-up of a Barite processing cluster in Cross River State, adding that work is already at an advanced stage.
Ogah explained that the overall objective of the initiative is to help realise our country’s desire to create more jobs, reduce importation, improve on value-addition/quality output and ultimately contribute significantly to our non-oil GDP sector as well as the development of the natural resources sector.
Permanent Secretary in the ministry, Dr Mrs Oluwatoyin Akinlade said barite is an essential component that is used as heavy mud in drilling for the extraction of oil and gas.
She expressed delight that ‘despite the many years that International Oil Companies (IOCs) have been in that business in Nigeria, we have been unable to produce standard quality barite until the coming of the administration of President Muhammadu Buhari.’
Describing the production of standard barite as a ‘landmark achievement,’ the Permanent Secretary noted that ‘it is not sheer coincidence that the launch of Made in Nigeria Barite is taking place in Port Harcourt,” it is ‘indeed a cap that fits the “Treasure Base of the Nation.”
