Avoiding the pitfalls of illegal mining

While congratulating the appointments of Prince Shuaib Abubakar Audu as Minister of Steel Development and Mr. Henry Dele Alake as Minister of Solid Minerals, as well as Mr. Ahmadu Maigeri who is the Minister of State for Steel Development, we wish them outstanding successes in the onerous national assignments entrusted to them for execution, in […]

While congratulating the appointments of Prince Shuaib Abubakar Audu as Minister of Steel Development and Mr. Henry Dele Alake as Minister of Solid Minerals, as well as Mr. Ahmadu Maigeri who is the Minister of State for Steel Development, we wish them outstanding successes in the onerous national assignments entrusted to them for execution, in order to develop our dear country, Nigeria. 

We are particularly encouraged by the patriotic disposition of the ministers to the restoration of Ajaokuta Steel Company and the National Iron Ore Mining Company, Itakpe.   

However, we wish to state that we are saddened by the fact that the Mines Inspectorate Department in the Ministry of Mines and Steel Development has failed to live up to expectations. 

The evidence of this failure is everywhere across the country as the Chinese and other illegal miners freely cart away great mineral resources of our country without paying taxes that are due to the federal government.  

This is not in doubt that the rape of Nigeria’s mineral commonwealth would have been impossible if some officials in states across the federation were not working in collaboration with officials of thieving mining companies. 

Nigeria loses no less than six billion dollars in revenues to illegal mining and smuggling of gold alone, let alone other minerals. 

We therefore call on you – the honourable ministers and permanent secretary in both ministries to investigate the questionable activities going on toward saving the country from further revenue losses currently bedevilling the sector.  

 The Mines Inspectorate Department must wake up to its responsibility of ensuring that all operators obey the laws guiding mining operations in Nigeria. 

Through the MID, the Ministry of Solid Minerals Development and the Ministry of Steel Development should work together to ensure that mining companies, especially foreign operating companies, should be compelled to obey the laws guiding mining activities in the country.   

Your ministries should address the challenge of illegal mining and save the sector from unauthorised Executive Orders being issued by state governors under the excuse that they are trying to address illegal mining. 

The federal government must develop the solid minerals sector, the steel sector too. Nigeria should not be too willing to hand over gigantic projects like the Ajaokuta Steel Company and the National Iron Ore Mining Company to foreigners.  

The capital-intensive nature of mining necessitates that there should be an ever-increasing pool of funds that local investors can access for business and mining development. 

The federal government must insist that foreign mining companies operating in Nigeria should build raw materials processing plants in the country. This would reduce export of unprocessed raw materials and create jobs and wealth for Nigerians. 

We must avoid the pitfalls of the past or face the judgement of history, by protecting our God-given minerals and ensure that they are utilized for our economic and social development.  

Hamza Mouhammad, National President, Nigerian Union of Mines Workers (NUMW)