Nigeria’s solid minerals sector has recorded a dramatic turnaround under President Bola Tinubu’s reforms, with revenue surging from N6 billion in 2023 to N38 billion in 2024, a six-fold increase, while attracting over $800 million in foreign investments, the Minister of Solid Minerals Development, Dr. Dele Alake, has revealed.
In an interview for an upcoming documentary marking President Tinubu’s second anniversary, Alake credited the administration’s strict licensing policies, which mandate local mineral processing, for the sector’s rapid growth.
Key among the new investments is a $600 million lithium processing plant near the Kaduna-Niger border, set for commissioning this quarter, and a $200 million lithium refinery on the outskirts of Abuja, nearing completion. Two additional processing plants in Nasarawa State are also expected to open before the third quarter of 2025.
“The days of exporting raw minerals from pit to port are over,” Alake declared. “No miner gets a license without a clear plan for local processing. This policy has transformed investor confidence.”
Despite receiving only 18% of its N29 billion budget allocation in 2024, the sector’s revenue skyrocketed, demonstrating the effectiveness of the new framework.
As part of a seven-point agenda, the government has taken aggressive steps to combat illegal mining, arresting over 300 offenders last year, with 150 prosecutions underway and nine convictions secured, including foreign nationals.
Non-kinetic strategies have also been deployed, with over 250 mining cooperatives established nationwide to integrate informal miners into the formal economy, making them eligible for financing and revenue-sharing opportunities.
With only $2 million spent on exploration before 2023—far less than regional peers like Côte d’Ivoire ($148 million) and South Africa ($300 million)—Nigeria has now budgeted ₦1 trillion for mineral exploration to generate internationally certified geological data.
The move has drawn attention from global players, with the UK, US, Saudi Arabia, and UAE expressing strong interest in Nigeria’s lithium and other critical minerals. Alake revealed that he was personally invited to Downing Street by the former British Deputy Prime Minister to discuss lithium investments, while the US sees Nigeria as a strategic alternative to China for mineral sourcing.
Under Alake’s leadership, Nigeria now chairs the newly formed African Mineral Strategy Group, a continental initiative pushing for local beneficiation and fairer trade terms. The move follows Nigeria’s advocacy at the 2024 Future Minerals Conference in Riyadh.
“We’re leading Africa in saying: no more raw material exports without domestic value addition,” Alake stated.
With over 10,000 license applications received in the first quarter of 2025 alone, the solid minerals sector has emerged as a key driver of Nigeria’s economic diversification under Tinubu.
“Nigeria has not had it this good in the solid minerals sector,” Alake said. “We’re restoring confidence, building data, enforcing the law, and ensuring Nigerians benefit from their resources.”
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