Minister of Solid Minerals Development, Dr Dele Alake has revealed that reforms in the mining sector attracted over $800 million from foreign investment into the Nigerian economy.
He said the funds came as a result of Tinubu administration’s new policy of local value addition and a tightened licensing regime.
Alake equally revealed that the sector also generated over ₦38 billion in revenue in 2024, up from just ₦6 billion the previous year, despite receiving only 18% of its ₦29 billion budgeted allocation.
He gave these statistics while speaking for a feature interview for an upcoming State House documentary marking President Tinubu’s second anniversary.
Alake said the sector has witnessed an increase in investor interest buoyed by the administration’s mining sector reforms.
The minister noted that the $600 million lithium processing plant near the Kaduna-Niger border, will be commissioned this quarter.
He also revealed that the $200 million lithium refinery on the outskirts of Abuja, is nearing completion, adding that two additional processing plants in Nasarawa, are slated for commissioning before Q3 2025.
According to Alake, these investments follow the administration’s insistence that no miner gets a license without a clear local processing plant.
He said the days of exporting raw minerals from pit to port are over.
Explaining some of the reform initiatives, he said ”;;when we resumed, the entire sector generated ₦6 billion annually.
“By the end of 2024, we hit ₦38 billion. And this was with just 18% of our ₦29 billion budgetary allocation released. It shows how effective our policy framework has been,”;; Alake stated.
He noted that in the first quarter of 2025 alone, two regulatory agencies—the Mining Cadastral Office (MCO) and the Mines Inspectorate, have already recorded ₦6.9 billion and ₦7 billion in revenue, respectively.
He projected this year to be a record-breaking one for the sector, adding that the current budget allocated ₦1 trillion for mineral exploration, targeted at generating internationally certified geological data.
“Exploration is key. When we came in, Nigeria had spent just $2 million on exploration, compared to $40 million in Sierra Leone, $148 million in Côte d’Ivoire, and over $300 million in South Africa. No serious investor will touch your sector without credible data,”;; he said.
