The Minister of Solid Minerals Development, Dele Alake, says Nigeria has attracted about $2.6 billion in foreign direct investment (FDI) into the mining sector within the past two and a half years.
Alake disclosed this during the Powering Africa Summit held in Washington, D.C.. His remarks were contained in a statement issued by his media aide, Segun Tomori.
According to the minister, the federal government has implemented reforms to sanitise the mining sector and create a more favourable environment for investors.
He explained that the government has reduced investment risks and improved transparency in the industry, making it easier for foreign investors to participate.
Alake added that investors now benefit from incentives such as tax waivers on imported mining equipment and the ability to repatriate profits after paying required royalties and taxes.
The minister also highlighted reforms under the administration of Bola Ahmed Tinubu, noting that improved governance structures, digitisation of licensing processes, and better regulatory frameworks have strengthened the mining sector and positioned it as a key contributor to Nigeria’s economic diversification.
He said the reforms now provide secure mineral titles for investors, ensuring long-term stability for mining operations.
Alake further revealed that the government is expanding the availability of scientific and internationally certified geological data to help both local and international investors make informed decisions.
Call for Regional Energy Hubs
During a panel discussion titled “Critical Minerals in Africa: Meeting Global Demand,” Alake called on the United States and African countries to establish regional energy hubs to support cross-border mining industrialisation and strengthen the supply chain for critical minerals.
He suggested the development of regional industrial corridors similar to the Lobito Corridor.
The minister mentioned potential corridors such as the Lagos–Abidjan corridor, linking Nigeria, Benin, Togo, Ghana, and Côte d’Ivoire, and the Walvis Bay Corridor, which connects parts of Southern and Central Africa to international markets.
According to him, these corridors could drive infrastructure development, improve energy access, and promote regional economic integration across the continent.
Crackdown on Illegal Mining
Addressing security challenges in the sector, Alake said the government has taken steps to combat illegal mining through the creation of mining marshals.
He disclosed that over 350 suspected illegal miners, including foreign nationals, have been arrested in the past year, with more than 150 currently facing prosecution.
The minister said the crackdown sends a strong signal that Nigeria is committed to protecting its mineral resources and ensuring compliance with the law.
