Nigeria’s solid minerals sector is projected to generate more than ₦70 billion in revenue in 2025, continuing a sharp upward trajectory attributed to reforms introduced under President Bola Ahmed Tinubu’s administration.
In a statement signed by Segun Tomori, Special Assistant on Media to the Minister of Solid Minerals Development, the sector’s revenue rose from ₦16 billion in 2023 to ₦38 billion in 2024, marking what he described as an unprecedented turnaround.
“It is no happenstance that revenue from solid minerals has surged astronomically since the advent of the President Bola Tinubu administration,” Tomori said.
According to the statement, the gains follow a series of policy and regulatory reforms implemented by the Minister of Solid Minerals Development, Dr. Dele Alake, guided by a seven-point agenda aimed at sanitising the mining sector and attracting serious investors.
Tomori noted that in late 2023, the ministry revoked 1,633 mining licences over non-payment of annual service fees, while another 924 dormant licences were withdrawn in early 2024.
“Armed with the now-famous seven-point agenda, the minister hit the ground running with reforms that freed up space for serious investors,” he said.
The statement also highlighted efforts to curb illegal mining through the establishment of mining marshals in 2024. According to Tomori, more than 300 illegal miners have been apprehended, about 150 are facing prosecution, and 98 illegal mining sites have been recovered.
“Illegal mining, the elephant in the room, is being tackled decisively with the establishment of the mining marshals,” he said.
To promote inclusivity, the minister introduced a cooperative federalism model that allows states to apply for mining licences and operate through limited liability companies, despite mining being on the exclusive legislative list.
“This creative approach has produced tremendous results, with several states now entering joint venture partnerships that have attracted investments,” Tomori added.
The statement disclosed that the reforms have spurred industrial growth, including the emergence of lithium processing plants and a proposed $400 million rare earth metals facility, while nearly $1.5 billion in foreign direct investment has been attracted to the sector since 2023.
On the continental front, Tomori said Nigeria’s push for local value addition—requiring processing or partial refining of minerals before export—has gained international recognition, leading to the formation of the Africa Minerals Strategy Group.
“Nigeria’s advocacy for local value addition has caught continental attention, positioning the country at the forefront of Africa’s mining renaissance,” he said.
He also pointed to the launch of the Nigeria Minerals Decision Support System, a web-based platform designed to ease doing business by providing investors with access to geoscientific and economic data.
Despite the progress, Tomori said the sector’s current revenue remains modest compared to its vast potential.
“Though unprecedented, crossing the ₦70 billion mark is still a drop in the ocean considering the enormous opportunities in the mining sector,” he said.
He expressed optimism that ongoing reforms would further boost revenue and strengthen the sector’s contribution to the economy.
“We are confident that by consolidating on these reforms, solid minerals will become a major contributor to Nigeria’s Gross Domestic Product in the coming years,” the statement concluded.
