FG Makes N1bn From Mining Leases, Licences

mining sector
  • FG Makes N1bn From Mining Leases, Licences

The Federal Government made more than N1bn in the first 10 months of this year from mining leases, renewal and licences.

The Minister of State for Mines and Steel Development, Mr. Abubakar Bwari, disclosed this at a press conference in Abuja to announce the West African Mining Summit scheduled to hold next year.

Bwari also stated that the revenue of the ministry doubled after the appointment of new mining officers in the states.

Apart from increased revenue profile, the sector has also witnessed increased budgetary performance, he added.

According to him, while the capital budget for 2015 was only N1bn; that of 2016 increased to N7bn, adding that so far, 45 per cent capital budget implementation had been achieved this year.

He said, “As part of the effort to ensure robust partnership with state governments for the sector’s growth, we have been able to secure approval for state governments to be beneficiaries of 13 per cent derivation from mining revenue.

“This is a significant shift that signposts our commitment to facilitating a win-win situation for all stakeholders. Also, in the spirit of cooperative federalism, we are establishing a council of mining and mineral resources.”

The minister said no fewer than 150 companies and operators would be participating in the National Mining Summit billed for the first quarter of 2017, as part of plans by the Ministry of Mines and Steel Development to scale up activities and drive investments in the sector.

Bwari stated that the exhibition and summit were a joint venture between the ministry and Afrocet Montgomery, IMAG and Deloitte Consulting.

About the Author

Samed Olukoya
CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade long experience in the global financial market. Contact Samed on Twitter: @sameolukoya; Email: [email protected]

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