Gom Mirian
The Minister of Solid Minerals, Dele Alake, has revealed that the Federal Government is considering the creation of a state company to regulate its mineral extraction industry and provide funding for local businesses.
He disclosed this in a statement on Sunday, saying the proposed entity will focus on the development of the country’s essential commodities such as gold, coal, limestone, bitumen, lead, iron-ore and baryte.
Nigeria, which is Africa’s second-biggest economy, has sizable untapped deposits of metals, including gold, zinc, lithium and iron ore. But nearly all extraction is done by so-called artisanal miners on a small-scale or manual basis, which means that the government misses out on tax revenue.
“The proposed corporation will seek and secure partnership-investment agreements with big multinational companies worldwide. The new body would aim to secure massive foreign direct investment for the mining sector,” he said.
According to Alake, a draft legislation to address smuggling and provide best oversight practices for the operations of the sector will be presented to lawmakers in the coming days.
