The Minister of Solid Minerals Development, Dele Alake, has directed the transfer of N2.5 billion from the Bank of Industry to the Solid Minerals Development Fund (SMDF) to support the mining sector.
Alake announced the decision through his spokesperson, Segun Tomori, following a meeting with stakeholders regarding the review of mining license fees in Nigeria.
The Minister and stakeholders agreed to revisit the recent 100 percent increase in royalty rates for minerals. This review is intended to better align with market conditions and improve the management of Nigeria's mineral resources.
Alake assured stakeholders that discussions are ongoing with state governors and the Nigerian Governors Forum (NGF) to address issues such as state interference that has led to the suspension of licensed mining operations and the overlap of federal regulations.
The statement added that the revised license rates are part of efforts to recover investments made in the sector’s infrastructure and to prevent speculation by holders of mining titles who do not actively mine.
This move follows the federal government’s recent increase in royalty rates and introduction of new charges for mining licenses and related activities.