Business and Economy
Nigeria, U.S. Advance Strategic Partnership In Mining
Nigeria and the United States are set to deepen cooperation in the mining sector, with both countries working towards signing a Memorandum of Understanding, MOU, on mining cooperation during the United Nations General Assembly, UNGA, in New York.
A statement signed by the Special Assistant on media to the Minister of Solid Minerals Development, Lara Owoeye-Wise, says this follow a meeting between the Minister, Dr. Dele Alake, and the United States Embassy’s Chargé d’Affaires, Keith Heffern, in Abuja.
According to the statement, the proposed agreement is expected to strengthen collaboration in geological exploration, mining, processing, refining and value addition, particularly in critical minerals needed for the global energy transition.
It adds that the meeting followed an earlier high-level engagement in Washington, D.C., where Alake led a delegation of the Nigeria Solid Minerals Company, NSMC, to the White House for discussions on expanding Nigeria-U.S. cooperation in the critical minerals value chain.
According to the statement, the Minister highlights ongoing reforms in Nigeria’s mining sector, including efforts to digitise geological data and provide investors with reliable information on the country’s mineral resources.
The statement states that the Nigerian Geological Survey Agency, NGSA, had made significant progress in mapping and cataloguing mineral deposits across the country, describing the digital platform as an important tool for reducing investment risks.
It identifies gold deposits in Zamfara and lithium deposits in Nasarawa, Kebbi and Taraba as part of the opportunities available to investors across the country.
According to the statement, the Minister also explains the constitutional framework governing mining, stressing that mineral resources fall under the exclusive legislative jurisdiction of the Federal Government.
It however, says states interested in participating in the exploitation of their mineral resources could establish Special Purpose Vehicles, SPVs, and apply to the Ministry for the necessary licences.
According to him, several states have already obtained approved licences under the arrangement, helping to reduce regulatory conflicts and provide greater clarity for investors.
The statement cites Nasarawa State as an example of the benefits of structured participation in the mining sector, noting the emergence of processing plants and employment opportunities.
It further stresses that the Federal Government was engaging major international mining companies, including Fortescue, Glencore and BHP, on investment opportunities in Nigeria.
The statement also highlights the role of the African Ministerial Strategy Group, AMSG, which he chairs, in promoting investment in Africa’s mineral sector.
It states that the group will hold a side event in New York during UNGA to connect U.S. investors with opportunities across Africa’s mining value chain.
According to the statement, the growing international interest in Nigeria’s mining sector reflected the impact of ongoing reforms and the Federal Government’s drive to transform the country’s mineral resources into a major source of industrial growth, job creation and economic diversification.
It notes that the proposed Nigeria-U.S. MOU is also expected to advance the Renewed Hope Agenda of President Bola Ahmed Tinubu, particularly in the areas of economic diversification, industrialisation, foreign investment and local value addition.
According to the statement, both sides describe the meeting as productive and expressed commitment to strengthening bilateral cooperation in Nigeria’s mining and critical minerals sector.
