Governor Abdullahi Sule of Nasarawa State has called for the deregulation of Nigeria’s mining sector, advocating for reforms similar to those in the oil and gas industry to unlock its full potential......CONTINUE READING THE ARTICLE FROM THE SOURCE>>>>>
Speaking at the 60th Nigerian Mining and Geosciences Society, NMGS, Annual International Conference and Exhibition in Abuja on Tuesday, Governor Sule stated the need for modernization and liberalization of the sector to attract investment and drive sustainable growth.
The governor pointed out Nigeria’s vast mineral resources but noted that current policies hinder the sector’s growth. Drawing from his experience in the oil industry, he stressed the importance of structured revenue-sharing mechanisms and industry regulations.
“When I became governor, I visited the Ministry of Solid Minerals Development within two weeks to understand the number of mining licenses issued in Nasarawa. At that time, 416 licenses had been awarded, yet the state was not receiving even one million naira in revenue,” he revealed.
Frustrated by the lack of financial benefits, Governor Sule took the matter to the National Economic Council, NEC, questioning why mining states were not receiving revenues similar to the 13% derivation fund in the oil sector.
Recognizing flaws in the licensing system—where only a community consent letter was required—he initiated an executive order mandating that all mining operations process minerals within the state before export.
“We faced a lot of opposition, but today, Nasarawa State is home to several processing plants, including Nigeria’s biggest lithium mining and processing plant, commissioned by President Bola Ahmed Tinubu,” he stated.
He added that another major plant, owned by Canmax, is set for commissioning in the next three months, alongside smaller tin mining and processing companies.
Governor Sule urged Nigeria to follow China’s example by prioritizing technology transfer and industrialization over quick financial gains.
“Some powerful individuals in Nigeria want to exploit the sector for quick money but that will not help the country. Industrialization of the mining sector is the only way forward,” he said.
Despite ongoing resistance, he remains committed to enforcing regulations that will benefit the state and country in the long run.
During the event, Professor Akinade Olatunji, President of the Nigerian Mining and Geosciences Society, commended the governor’s reforms.
The event concluded with the conferment of a fellowship award on Governor Sule for his contributions to developing Nigeria’s mining sector.