Solid Mineral: FG Expects $12bn Direct Investment

An aide to the Minister for Solid Mineral Develop-ment, Mr Demola Gbadegesin, has said more than $12 billion direct foreign investment is expected in the solid minerals sector in the next five years.

Gbadegesin said this in Abuja, adding that the investment was expected from the full exploration of coal, bitumen and gold.

He said there were over 34 identified mineral deposit spread across the country, with expected investment in the coal sector totalling N11.2 trillion, bitumen N4.2 trillion and N1.4 trillion from gold.

In the coal sub-sector, Gbadegesin said investors for the Okpara coal mine in Enugu would put in N4.2 billion for immediate surface mining, and N140 million for briquette production.
”Underground mining at Okpara will get N1.4 trillion investment, export activities and the establishment of an Independent Power Plant (IPP) will receive N1.4 billion and N1.7 trillion direct investment,” he said.

Gbadegesin said at the Ogboyoga coal mine in Kogi State, the bidding companies would invest N7.15 trillion in surface mining, briquette, underground mining, export activities and the establishment of an IPP in the next five years.

Gbadegesin said the two bitumen blocks at Ondo/Ogun and Ondo up for privatisation would also attract over N4.2 trillion in the provision of production facilities and production cost within the next five years. He said the exploration and mining of the gold deposit in Waya, Kebbi State, Igun in Osun State and Dukki in Zamfara State would attract more than N1.4 trillion within two years.

”The Baryte deposit in Azara, Nasarawa and Karim Lamido in Taraba will also attract about N8.4 billion from exploration and actual mining,” he said.

According to him, over 60 reputable national and international companies with wealth of experience in mining are in the country undertaking spot assessment of various mining properties offered for privatisation.

He said the ministry was working hard to divest government from mining operating interest, and attract strong and credible players into the sector.