Abuja: The Minister of Solid Minerals Development, Dele Alake, has issued a stern warning to mining companies that fail to adhere to Community Development Agreements (CDAs), cautioning that they may face revocation of their mining titles as the Federal Government intensifies enforcement measures.
According to News Agency of Nigeria, Alake delivered this warning during the opening of a two-day ministerial retreat in Abuja, centered on the theme ‘Accelerating Solid Minerals Sector Transformation: Delivering on Ministerial Mandate Through the Seven Priority Areas.’ Alake instructed the Permanent Secretary to compile a list of companies that have not signed or implemented their CDAs, emphasizing the imminent imposition of strict sanctions on non-compliant operators.
Compliance with CDAs is a statutory requirement designed to ensure that communities hosting mining activities benefit directly from mineral development. Alake urged ministry staff and associated agencies to build on their achievements under the Seven Priority Areas and to develop new initiatives to further enhance the sector.
The minister highlighted the progress made in areas such as reforms, investment promotion, mining security, digitization, revenue generation, and institutional strengthening. However, he stressed the need for a focus on measurable outcomes and sustainable economic impacts, underscoring the solid minerals sector’s role in President Bola Tinubu’s economic diversification agenda.
Alake also reiterated the government’s commitment to developing domestic mineral processing industries, as evidenced by the recent inauguration of a lithium processing plant in Nasarawa State, with a daily capacity of 6,000 metric tonnes. This move aims to drive value addition and leverage Nigeria’s critical minerals for industrialization, including local manufacturing of electric vehicle batteries and other high-value products.
Emphasizing institutional effectiveness as crucial to fulfilling the ministry’s mandate, Alake praised the staff for their efforts in repositioning the solid minerals sector and encouraged them to maintain their dedication.
Chairman of the Senate Committee on Solid Minerals, Sampson Ekong, also addressed the retreat, advocating for increased funding and stronger collaboration to accelerate reforms and unlock the sector’s full potential. Ekong expressed concerns over insufficient budgetary allocations despite the sector’s economic promise and called for improved funding to translate reforms into tangible outcomes and accelerate growth.
The News Agency of Nigeria reports that the retreat serves as a strategic platform to review progress, refine implementation strategies, and align the ministry’s activities with presidential and ministerial priorities. The seven priority areas include establishing the Nigerian Solid Minerals Corporation, forming strategic joint ventures with reputable mining multinationals, gathering big data on priority minerals, and creating a National Solid Minerals Database. Other focuses are integrating illegal miners into artisanal cooperatives, reconstituting the Mines Surveillance Task Force and Mine Police, and comprehensively reviewing mining licenses. Additionally, optimizing the Mining Cadastre System and establishing six Mineral Processing Centres to promote local value addition are among the priorities.