Nigerian Federal Government Earns N16.4 Billion From Mining Royalties And Fees (Full Details)

The federal government of Nigeria has earned N16.4 billion from May 2023 to April 2024 through mining royalties and sundry fees. This announcement was made by the Minister of Solid Minerals Development, Dr. Dele Alake, during the Sectoral Updates Series to mark the First Anniversary of President Bola Ahmed Tinubu’s Administration in Abuja on Thursday….CONTINUE READING

Dr. Alake disclosed that the earnings were facilitated by the Mining Cadastral Office (MCO), an agency under the ministry responsible for mineral title administration. He noted that this amount surpassed the target of N10.5 billion set for the agency by N6.7 billion.

In his further remarks, the minister revealed that the ministry generated and collected N14,938,164,335.43 as of December 31, 2023. This figure represents a 72.1 percent positive variance and a 172.1 percent performance when compared to the annual budgetary target of N8,680,197,621.00 for 2023.

Dr. Alake highlighted the ministry’s collaboration with GeoScan GmbH through the Solid Minerals Development Fund (SMDF) for the exploration and development of Nigerian critical mineral resources using innovative technology. Additionally, the ministry has partnered with the African Finance Corporation to raise a project development facility, aiming to support companies in the early stages of exploration that struggle to raise capital. Currently, 20 candidates have been shortlisted for training to efficiently manage these funds.

“Another initiative of SMDF is its partnership with the global exploration agency, XCalibur. Both are working together to advance Nigeria’s geological data capabilities. The SMDF is the face of the ministry as the partner of choice for international mining companies. It mobilizes capital for critical and strategic mining projects, attracts foreign direct investment, and fast-tracks the delivery of final investment decisions,” Dr. Alake explained.

Regarding funding for exploration, the minister mentioned a proposed N70 billion exploration funding, emphasizing its importance as a solution to the challenges in mineral exploitation in Nigeria. However, this funding was not included in the current budget, but efforts will continue to secure it.

Dr. Alake also acknowledged the Nigerian Geological Survey Agency (NGSA) for its rigorous research efforts to uncover the mineralogy of Nigeria’s landscape despite financial constraints.

Published By: Destiny.Jnr