Amanze ChinonyeThe Federal Government will revoke 1,000 dormant mining licences this year as part of efforts to sanitise Nigeria’s solid minerals sector, Minister of Solid Minerals Development Dr Dele Alake announced in Abuja on Wednesday.
While speaking at the maiden edition of the National Steel Summit he said the decision is aimed at unlocking billions of naira in potential revenue, creating jobs, and ensuring only serious investors with the technical and financial capacity to develop mineral resources retain their rights. He noted that many licence holders have failed to commence exploration or production years after being granted permits, stalling industrial projects and depriving the economy of growth opportunities.
Join our WhatsApp ChannelThe move follows the revocation of 924 mining titles in 2024 for non-compliance with operational terms. “This administration is committed to repositioning the solid minerals sector as a major contributor to GDP,” Alake said, adding that reclaimed licences will be reallocated to credible operators.
Lawmakers and senior officials present at the event threw their weight behind the reforms. Senator Ekong Sampson, Chairman of the Senate Committee on Solid Minerals Development, said: “From gold to lithium, bitumen to coal our minerals can diversify the economy, create jobs, and generate critical foreign exchange.”
READ ALSO: NAFDAC Reopens Onitsha Drug Market, Seizes 50 truckloads Of Illicit Drugs
When Government Goes Rogue With Impunity
Reforms, including stricter enforcement of mining regulations, have already boosted revenues sharply. Government earnings from licences rose from about ₦6 billion in 2023 to ₦12.6 billion in 2024, while royalties nearly doubled to ₦36.8 billion. Overall, the sector generated approximately ₦38 billion in 2024, compared with ₦6 billion the previous year.
In the first quarter of 2025 alone, the Mining Cadastral Office and Mines Inspectorate collected ₦6.9 billion and ₦7 billion, respectively. Alake said these figures underscore the impact of the government’s “use-it-or-lose-it” licence policy and ongoing crackdowns on illegal mining.
Hon. Jonathan Gbefwi, who chairs the House Committee on Solid Minerals Development, likened the policy shift to international best practices: “This is our chance to replicate what Norway achieved with oil but in our case, with minerals.”
The revocation drive forms part of broader reforms under President Tinubu’s Renewed Hope Agenda, which also includes formalising artisanal miners into cooperatives, attracting foreign investment, and earmarking ₦1 trillion in the 2025 budget for mineral exploration.
Engr. Obadiah Nkom, Director-General of the Nigeria Mining Cadastre Office, called the reforms transformational: “This is a moment of rebirth for the entire mining sector. We are committed to building an efficient, transparent mining ecosystem.”
With untapped mineral reserves estimated at $750 billion, Alake said the government’s goal is to make mining a significant non-oil revenue source, create jobs, and drive industrial growth.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
