By: Patience Ndidi Aliede
The Nigeria Mining Cadastre Office, a federal agency of the ministry of Mines and Steel Development, solely responsible for the administration of mineral titles, by default, forms an integral part of the ongoing National Integrated Mineral Exploration Project (NIMEP). It’s role, without which legal concerns surrounding the exercise would be fraught with tenuous confidence, is very critical. In this exclusive interview with Engr. O.S Nkom, The Director General and Chief Executive Officer, he cleared the air over the project’s misunderstood concept. Expectedly, he was armed with the answers to our barrage of questions. He sat with Abdulsalam Lukeman Omuya and Patience Ndidi Aliede.
Excerpts:
Q. Sir, give us your understanding of the National Integrated Mineral Exploration Project (NIMEP)
R. NIMEP is a project that was conceived by the federal government to fulfil one of its diversification agenda. Achieving this entail coming up with targeted exploration activities in selected areas after which, they shall be delineated into several blocks within the mining sector. Adverts for interested companies were widely circulated before contractors and consultants were engaged based on qualification.
The concept basically, is to deepen the acquisition of geoscience data over the designated zones and achieve accelerated development of the mining sector. There are 5 contractors assigned to known mineral occurrences in the country and 3 consultants to oversee their activities. The supervising committee is made up of all the relevant agencies, technical departments with key roles by the Nigeria Mining Cadastre Office. The goal, after delineating the prospective areas, is to subsequently throw them up for biding to serious investors after advertisement, in line with provisions of the Act. With the project, being an important component of this government administration, Nigeria Mining Cadastre Office is working assiduously to ensure it sees the light of day.
Q. What is the status of the existing titles, though some dormant, within NIMEP restricted areas?
R. The NIMEP areas are quite substantial in size. There are also some existing titles, some dormant, within the restricted areas. In any case, the policy of use it or lose it is in force. Dormant titles, some of which may overlap existing titles, will definitely face revocation. On the flip side, those who comply to obligation of mineral title holders stand to benefit from the data generated. However, majority of discoveries thus far, are within those free areas, surprisingly. In order for the government, strategically thinking, to prevent people from taking advantage of data generated, we have blocked these areas after taking inventory of existing titles and pending applications at the time. This is to forestall fresh application entry if they gain access to data statistics. This is in force on till the project is concluded.
Q. In the event of a successful completion of these projects, what is the fate of a title that falls within the NIMEP restricted areas?
R. The key principle in Mining cadastre and Federal Government policy is Security of Tenure. If you have a title and adhere to the provisions of the Act, nobody takes it away, whether through NIMEP project or any other means. It only becomes, if you ask me, an advantage for the title holder to now have access to credible geologic data. The government, on their part, will not withhold data because it is encumbered within an existing title. Besides, government can not take away that title, as such action may provoke a legal tussle in court. The Nigeria Mining Cadastre Office has a cardinal responsibility for the project and to equally uphold the principle of security of tenure to protect the mineral title holder. From this duty, you can be assured, we won’t relent. The data now available to the title holder becomes an advantage in dealing with investors, foreign or local, who may develop confidence, by virtue of the data integrity, to inject funds into the business.
Q. What legal instrument did you rely upon for grant of access for the Project’s commencement?
R. We cannot operate outside the Nigeria Minerals and Mining Act,2007 and Regulations,2011. We are a law abiding agency.
Q. You are popularly referred to as the spirit of the Nigeria Mining Cadastre Office, from your vast experience, has anything similar ever been done in the sector?
R. From the concept of the Mining Cadastre and Federal Government Policies, the issue surrounding delineating areas for serious investors are in several folds. Greenfields; where no work has been done, Brownfields; where some level of work has occurred, JV’s and in this case, with respect to NIMEP, where Government has undertaken some level of work, substantial data have been made available, in line with section 9 of the Nigeria Minerals and Mining Act, 2007. Yes, we have had cases in terms of biding. For instance, Nigeria Mining Corporation has an abandoned, rich underground mine in Riruwai that existed for 30/40 years, it was advertised and auctioned to Century Mining, who successfully acquired it at a bid price of $5m. Another is The Nigeria Coal Corporation title in Okaba which was also sold for $10.5m,are some typical examples. Same goes for Ogboyega 1 and 2. Some level of activity is going on due to government’s privatization drive and that informed the decision to auction some of those areas. In the case of NIMEP, at the end of the exercise, if we succeed with coming out with quite a number of blocks, the geosciences data will be made available through advertising for interested investors. Expectedly, after due diligence, the companies can continue from there. It has a similitude with what we are doing with the Bitumen Belt. Same is obtainable in the oil industry.