The Federal Government has approved a plan to move N2.5bn from the Bank of Industry to the Solid Minerals Development Fund.
The amount held in the mining sector support fund is intended to facilitate funding access for Indigenous miners by offering better terms.
The Minister of Solid Minerals Development, Dr Dele Alake, disclosed this during a three-hour meeting with stakeholders in the mining sector, according to The Punch.
A statement by the Special Assistant on Media, Segun Tomori, on Friday said that the meeting was conveyed to discuss recent happenings in the sector, including the recent hike in license fees and its effect.
The statement read, “In another significant development, the minister approved a proposal to transfer the N2.5bn mining sector support fund from the Bank of Industry to the Solid Minerals Development Fund.
“This move is intended to ease access to funding for Indigenous miners by offering more favourable conditions.”
It stated that a consensus has been reached by the government to support the review of mining license rates.
“This review aims to align the sector with current market realities and to ensure more effective management of Nigeria’s mineral resources,” it added.
The minister clarified that the updated license fees were required to aid in the government’s recovery of expenditures incurred in enhancing the industry’s infrastructure.
Stakeholders were also granted permission to propose adjustments to royalty rates for minerals that have seen their market values drop below official estimates.
Alake also revealed that more steps were being taken to sanitize the mining sector including the use of satellite imaging to draw in reliable investors, and aid the Mining Marshals in stopping illicit mining operations and bringing offenders to justice.
In a bid to boost morale within the sector, the minister announced a redeployment of federal mine officers as part of a broader effort to enhance performance, with a warning that “officers that are found wanting in their duties will face appropriate disciplinary actions”.
Earlier, the President of the Miners Association of Nigeria, Chief Dele Ayanleke presented a 10-page position paper detailing a number of issues, such as the detrimental effects of state government mining regulations, the use of mining marshals, the requirement for value addition, the review of rates, and the National Assembly’s exclusion of stakeholders from the mining law review process.
