For decades, Nigeria’s mining sector, after the initial impressive contribution to the nation’s economy, lingered in the shadows, overpowered by oil.
But as the nation searches for viable paths to economic diversification, the solid minerals sector is stepping back into the spotlight, rekindling old hopes and raising new possibilities.
Historically, Nigeria’s mineral wealth was once a major contributor to the economy. Tin mining on the Jos Plateau made global headlines in the early 1900s. But after the oil boom of the 1970s, the mining sector crumbled.
While the mining sector held sway, the environmental toll was heavy with evident land degradation, community displacement, and contaminated water supplies. In recent years, insecurity and illegal mining have become major challenges in this regard. These scars are still visible today. However, the bigger loss was economic; billions in untapped minerals were left underground, and mining’s share of GDP shrank to less than 1%.
Nigeria is home to over 44 commercially viable solid minerals, including coal, gold, lithium, barite, lead-zinc, copper, and iron ore.
Experts agree that these resources, if effectively harnessed, could drive industrialisation, create jobs, and reduce poverty, especially in mineral-rich but economically deprived regions.
In recent months, however, the narrative appears to be shifting. President Bola Tinubu, in his 65th Independence Anniversary broadcast, declared the solid minerals sector “pivotal” to Nigeria’s economic transformation.
The President’s message is clear: the days of exporting raw minerals are over as his administration aims to add value locally, encouraging downstream processing and manufacturing. This is expected to generate jobs, increase revenue, and move Nigeria from a raw material exporter to an industrial nation.
In the scheme of changing the narratives, the Ministry of Solid Minerals, under Dr Dele Alake, has introduced aggressive reforms, tightening licensing procedures, requiring local processing plans, and formalising artisanal miners and introducing the mining Marshals in mineral-rich regions to provide security for the sector. This resulted in revenues surging from ₦6 billion in 2023 to ₦38 billion in 2024.
More revenue is expected as new lithium processing plants worth over $900 million are underway in Kaduna, Abuja, and Nasarawa. The move is expected to create thousands of jobs and place Nigeria on the map for battery production.
As local reforms take place, global interest is growing. Countries like the US, UK, Saudi Arabia, and the UAE have all shown interest in Nigeria’s critical minerals, especially lithium, a key input for electric vehicle batteries.
Because of this disposition, Nigeria now chairs the African Mineral Strategy Group, positioning itself as a regional leader in beneficiation and fairer trade.
Despite these feats, the Nigerian Extractive Industries Transparency Initiative NEITI noted that the mining sector’s GDP share remains low, calling for deeper reforms. In this respect, the Tinubu administration has committed over ₦1 trillion for mineral exploration in 2025.
Despite these feats, analysts say inconsistent policy enforcement and inadequate infrastructure, including roads, rail networks, and electricity, continue to hinder the sector’s full potential.
As Nigeria marks 65 years of independence, the question remains: Can solid minerals finally deliver what oil promised but failed to sustain?
If Nigeria can maintain its current trajectory and do more, anchored on transparency, local value addition, and investor confidence, it will transform its mineral wealth into long-term national prosperity.
For now, the Ministry of Solid Minerals appears to be on the right track. But to truly unlock its full potential, Nigeria must stay the course of addressing challenges in the sector, committing not just to reforms but to results.