Mining
The Federal Government has given the green light for the transfer of N2.5 billion from the Bank of Industry to the Solid Minerals Development Fund. This initiative aims to enhance funding access for Indigenous miners by providing more favorable financial terms.
During a three-hour meeting with stakeholders in the mining sector, the Minister of Solid Minerals Development, Dr. Dele Alake, revealed this decision. The gathering focused on recent developments within the sector, particularly the recent increase in license fees and its implications.
According to a statement from Segun Tomori, the Special Assistant on Media, the meeting was convened to address these pressing issues. The minister emphasized that the transfer of the N2.5 billion mining sector support fund is designed to ease funding access for Indigenous miners.
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The government has reached a consensus to review mining license rates. This review is intended to align the mining sector with current market conditions and ensure more effective management of Nigeria’s mineral resources.
Dr. Alake explained that the updated license rates are essential for the government to recoup investments made in enhancing the sector’s infrastructure. This move is expected to create a more sustainable mining environment.
Additionally, stakeholders have been allowed to propose changes to royalty rates for minerals whose market values have fallen below official estimates. This flexibility aims to support miners facing economic challenges.
To further improve the industry, the minister announced the implementation of additional measures, such as the use of satellite imaging. These initiatives are aimed at sanitizing the sector, attracting credible investors, and assisting the Mining Marshals in combating illegal mining activities and prosecuting offenders.
