The Federal Government of Nigeria (FGN) through the Ministry of Solid Minerals Development has revoked the licences of 1,633 miners over their failure to pay the statutory fees.
The 1, 633 mineral titles revoked are as follows: Exploration Licence (536), Quarry Licence (279), Small Scale Mining Licence (787) and Mining Lease (31).
Addressing the press Tuesday in Abuja, Minister of Solid Minerals Development, Dr Oladele Alake, said the revocation is to allow serious investors to take over.
He said: “Every sector requires a governance system that regulates the conduct of its participants, the procedures for entry and exit, the obligations of the Government to participants and the penalties for non-compliance.
“The philosophy of the Nigerian Minerals and Mining Act (NMMA) 2007 is to establish a rational system of administering titles transparently and comprehensively to ensure a seamless transition from reconnaissance to exploration and from exploration to mineral extraction.
“The principal agency for the administration of titles is the Mining Cadastral Office (MCO), which receives applications, evaluates them and issues titles with the approval of the office of the Honourable Minister of Solid Minerals Development.
“Although the MCO has tried to improve its efficiency by adopting new application administration technology, it continues to face challenges in monitoring the compliance of title holders with the most basic requirements for the maintenance of its operations and sustenance of titles.
“Inspired by the provisions of the Law, the EMC+, the title administration portal of the MCO automatically notifies every mineral title holder of its obligation to pay the annual service as at when due. This is the first administrative alert signal that every mineral title holder receives and should ordinarily prompt the company to settle its obligation.
“In compliance with the law, the MCO on October 4, 2023 began the process of revoking 2,213 titles. These included 795 Exploration titles, 956 Small Scale Mining Licences, 364 Quarry licences and 98 Mining Leases. These were published in the Federal Government Gazette Number 178, Volume 110 of October 10, 2023 with the notice of revocation for defaulting in the payment of Annual Service Fee.
“The mandatory 30 days expired on November 10, 2023. Only 580 title holders responded by settling their indebtedness. With this development, the MCO recommended the revocation of the 1, 633 mineral titles within the aforementioned various categories.
“In line with the powers conferred on me by the NMMA 2007, Section 5 (a), I have approved the revocation of the 1,633 titles. I hereby warn the previous holders of these titles to leave the relevant cadastre with immediate effect as security agencies shall work with the Mines Inspectorate of the ministry to apprehend any defaulter found on any of the areas where titles have been revoked.
“We have no doubt in our mind that the noble goals of President Bola Ahmed Tinubu to sanitise the Solid Minerals sector and position the industry for international competitiveness is alive and active. We appeal to all stakeholders for their co-operation in achieving these patriotic objectives and encourage those who have done business in this sector the wrong way to turn a new leaf. Ultimately, the Nigerian people shall be the winners.”
Director, Nigerian Mining Cadastre Office, NMCO, Engr Obadiah Simon Nkom, foreshadowed this when he was making his presentation at the 2023 and 8th edition of the Nigerian Mining Week held recently in Abuja as he reiterated his vow to facilitate the revocation of inactive mining licenses across the country.
According to him, mining licenses that are left dormant or without the statutory commitment from their owners reflect lack of capacity which is a pre-condition for granting the license, hence the agency’s policy of ‘Use it or lose it’, when applied, they have to be revoked and reissued to potential and willing investors that can put the license to use for job and wealth creation towards economic growth.
