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Nigeria to understudy Australia’s mining sector — Fayemi

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Nigeria's Solid Mineral Minister, Dr. Kayode Fayemi

Nigeria’s Solid Mineral Minister, Dr. Kayode Fayemi

ABUJA-THE Federal Government would understudy the Australian mining sector in the bid to reposition the country’s solid mineral sector, the Minister of Solid Minerals Development, Kayode Fayemi, has said.

The government will also be learning how the Australian government has been able to achieve synergy between communities, states and the government in resolving the recurrent conflicts between communities and miners and settling the royalties due to states.

Mr. Fayemi said Nigeria needs to learn how Australia has been able to drive its country’s mining sector, which accounts for 8.5 per cent of the country’s GDP and employs about two per cent of the work force as the present administration is set to improve the nation’s economy through the sector.

Speaking in Abuja during a courtesy visit by the Australian High Commissioner to Nigeria, Jonathan Richardson, to his office on Friday, Mr. Fayemi said the increasing interest of the government is geared towards understanding the Australian mining sector and coming up with an approach that will be profitable to Nigeria.

He said: “We need to learn how you have been able to particularly drive the Australian mining industry. The president is really very focused in this sector; not that we have choices anyway with the prices for petrol dollar dwindling, so we have to look at alternatives for raising revenue for the country and clearly for the president, agriculture and solid minerals appear to be the most realistic or fastest way to begin to raise additional revenue for the economy.

“The increasing interest of our government has made me get in touch and connect with what you are doing in your mining sector. Everything I have heard in the last 10 days of being in this position points in the direction of Australia. Everybody is saying it to me factually, technically, commercially, I keep hearing, you get Australia, you fix the mining sector.

“Another area that we really can learn from Australia is you are a federal entity like us, we do have significant tension between what the constitution says about mineral resources belonging exclusively to the federal authority and the management of land belonging to the state government. So, we need to find a sharing formula mechanism, what royalties comes to those who own the land, the community, state government and then the federal in other to achieve synergy and corporation because increasingly, I am hearing stories of those trying to explore minerals from local communities and facing a number of challenges there. We will be interested to know what Australia has done about it.”

Earlier, the Australian High Commissioner, said that his country would like to cooperate with Nigeria in the areas of technical training and support as well as other areas the government might require. He added that over 100 Nigerians had taken advantage of short professional courses in specialized areas in Australia since 2010.

Mr. Richardson, who stressed that Nigeria is well endowed with mineral resources, stated that security, rule of law, law enforcement, policy consistency as well as cheaper and reliable power supply would play significant roles in building and sustaining investors confidence in the Nigerian mining sector.

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Business

Nigeria set to boost Naira value and foreign reserve with local gold production, as Tinubu receives gold bar

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IN  a significant move to strengthen Nigeria’s economy, President Bola Tinubu received a symbolic gold bar on Sunday from the Minister of Solid Minerals Development, Dele Alake.

This gesture marks the commencement of the National Gold Purchase Program (NGPP), aimed at boosting the naira’s value and enhancing the country’s foreign reserves.

Minister Alake expressed gratitude to President Tinubu for his support of reforms in the solid minerals sector.

He highlighted that the NGPP, which involves sourcing gold from artisanal and small-scale miners and refining it to meet the London Bullion Market Association’s Good Delivery Standard, will substantially contribute to Nigeria’s economic stability.

Alake stated “This initiative will significantly increase our foreign reserves and strengthen the naira. The refined gold will be supplied to the Central Bank of Nigeria, marking a crucial step in our economic strategy.”

The presentation also underscored the first commercial transaction under the NGPP, establishing a centralized gold purchasing system that integrates small-scale miners, cooperatives, and production units across the nation.

This program is expected to provide a structured market for gold, fostering economic growth and stability.

He said, The successful completion of the first commercial transaction clearly demonstrates the National Gold Purchase Program’s effectiveness. It has increased the nation’s foreign reserves assets and shown that using the Nigerian Naira to purchase a liquid asset traded in United States Dollars, such as gold, is a viable strategy. This transaction has also underscored the potential of the National Gold Purchase Program to enhance fiscal and monetary stability.”

Alake added that the initial commercial transaction under the program resulted in a +US$5 million boost in Nigeria’s foreign reserve assets.

The transaction involved refining over 70 kilograms of gold to meet the London Bullion Market quality standard and aggregating locally mined gold, thereby infusing approximately NGN6 billion into the rural economy.

President Tinubu expressed appreciation for the Ministry’s accomplishment in advancing the government’s goal of economic diversification by acknowledging and displaying the symbolic gold bar

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Solid Minerals

FG Fingers Foreigners Sponsoring Banditry For Illegal Mining

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The Nigerian Government has threatened to come down heavily on foreigners sponsoring bandictory as a way of sustaining illegal mining activities in parts of the country.

The warning was handed down in Abuja by Minister, Solid Minerals Development, Dr Oladele Alake, while receiving a delegation of the Nigeria-China Chamber of Mines led by its National President, Dr. Olugbenga Ajala.

Details of these were contained in a statement released by Head, Press & PR, Ministry of Solid Minerals Development, Alaba Balogun over the weekend.

The statement cited, Dr Alake, thus, “The government will come down firmly on these unscrupulous foreign operators sponsoring banditry to perpetrate illegal mining: let me use this medium to appeal through you to tell those sponsors to desist or face the full wrath of the law.”

According to Dr Alake, the Ministry is committed to establishing a multi-agency task force that will end the activities of illegal miners and their collaborators.

The Minster made it clear that the FG had given illegal miners a 30-day-ultimatum to legitimise their businesses, quit Nigeria or incur the wrath of the law.

According to him, this will help “to streamline and structure the Small-Scale Artisanal Miners for maximum yield to the Federal Government.”

The delegation paid a courtesy call on the Minsiter at the Ministry’s headquarters in Abuja.

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Energy

Fuel Scarcity: Govt Yet to Increase Pump Prices – NMDPRA

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A long queue at an NNPC fuel station

By Edozie Obasi-Eze

 

Amidst heightening uncertainties in the domestic petroleum products market characterised by scarcity and irregular pricing, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has declared that there’s no intention to review pump prices upwards.

This was contained in an advisory issued by General Manager, Corporate Communications, NMDPRA, Kimchi Apollo.

He stated that the Nigerian National Petroleum Corporation Limited (NNPCL) had imported PMS with current stock levels sufficient for 34 days.

In an attempt to address panic buying and speculations which have seen price of Premium Motor Spirit (PMS) oscillate between N180-N250 in the Lagos area, Apollo assured that there was enough quantity of the product in the country already.

He said, “Consequently, marketers and the general public are advised to avoid panic buying, diversion of products and hoarding.

“In keeping with the Authority’s responsibilities as outlined in the Petroleum Industry Act (PIA), the Authority assures the public that it would continue to monitor the supply and distribution of petroleum products nationwide, especially during this holiday season.”

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