Nigerian Mining Sector: Federal Government Begins issuance of Mining Licenses online

Nigerian Mining Sector: The Federal Government of Nigeria has launched a portal through which investors can apply and acquire mining licenses and permit online so as to aid the growth and development of the sector.

 

The Nigerian Mining Corporation (NMC) was formed in the early 1980s to explore for gold. Lack of funds and the lure of easier profits from oil production led to its failure. The mining of minerals in Nigeria accounts for only 0.3% of its GDP, due to the influence of its vast oil resources. The domestic industry is undeveloped leading to lapses in the sector.

All rights to ownership of mineral resources is held by the Federal Government of Nigeria, which grants titles to organizations to explore, mine, and sell mineral resources. Mining regulations is handled by the Ministry of Mines and Steel Development, which oversees the management of all mineral resources. Mining law is codified in the Federal Minerals and Mining Act of 1999. During the past successive regimes, the Nigerian mining industry was monopolized by state-owned public corporations. This led to a decline in productivity in almost all mineral industries. The Obasanjo administration began a process of selling off government-owned corporations to private investors in 1999.

FG LAUNCHES MINING LICENCES AND PERMIT PORTALS

The launch of the portal will enable investors apply and acquire mining licenses and permit online with ease. Minister of Mines and Steel Development, Dr. Kayode Fayemi who stated this, said the portal will also handle mineral titles, application, online payment of royalties and fees, and a database for revenue drive.

He said the project goal is to increase provision of reliable information and knowledge to enhance promotion of investment in the sector using technology driven innovation.

 

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