Nigeria’s abundant, untapped mineral wealth, estimated at $700 billion, is drawing global attention as the government embarks on ambitious reforms to expand the mining sector.
Led by President Bola Tinubu’s administration, these reforms seek to diversify the country’s economy away from oil and unlock new revenue sources.
Last week, Nigeria hosted a four-day mining investment roadshow in South Africa, aiming to secure $500 million in foreign investment for the sector.
The event, held at the Sandton Convention Centre in Johannesburg, attracted investors from various countries, particularly interested in Nigeria’s reserves of gold, lithium, limestone, and tantalite.
Nigeria’s High Commission organized the roadshow in partnership with Rosebank Capital, highlighting ongoing reforms and investment opportunities. Diplomatic sources indicate that countries have been increasingly concerned about China’s dominant presence in Nigeria’s mining industry and are keen to participate in the sector’s growth.
Spearheading these reforms is Dele Alake, Nigeria’s Minister of Solid Minerals Development, who has been tasked with reducing the nation’s reliance on oil. Addressing attendees in Johannesburg, Alake emphasized that the reforms are creating an improved business environment for global mining giants, including Glencore and Rio Tinto, to operate in Nigeria.
The World Bank has also voiced its support for the reforms, which align with its recommendations for economic diversification and stability in Nigeria.
Experts believe the mining sector could add up to $25 billion to Nigeria’s GDP over the next decade and create more than three million jobs, making it a crucial component of the country’s economic strategy.
Recent improvements, like the launch of the Electronic Mining Cadastral System, have simplified the licensing process, allowing investors to obtain mining licenses more efficiently.
Additionally, the government has announced plans to establish processing plants for lithium and rare earth minerals, further enhancing Nigeria’s role in the global mineral value chain.
