The Ministry of Solid Minerals Development’s has announced a comprehensive overhaul of rates and charges for services provided by ministry entities.
The Minister of Solid Minerals Development, Dr. Dele Alake, released new rates regime for its departments and agencies while addressing Journalists in Abuja, Nigeria.
Highlighting the Ministry’s strategic objectives, Dr. Alake said “the new rates which affect 268 items in includes, applicants for mining lease paying 3million naira, Reconnaissance permit 300,000 Naira, exploration licence 600,000 Naira, Small scale mining licence 300,000 naira, quarry lease ,600,000 Naira and Water user permit 300,000 Naira.”
He said annual service fee “is now 31,500 Naira per cadastral unit for the first time, small- scale mining, 260,000 Naira, quarry lease, 500,000 Naira and mining lease, 1,250,000m Naira.”
The Minister further said penalties for late renewal of mineral titles: “reconnaissance permit, 600,000 Naira, exploration licence, 1,500,000m Naira, mining lease, 3,000,000 Naira and quarry lease, 1,500,000m Naira.”
Also Dr. Alake said that “the royalty rate per standard weight of minerals will now cost 100% more. baryte, with 42,000 Naira as market value per tonne attracts 2,100 Naira royalty; coal, with 100,000 Naira per tonne market value attracts 3,000 Naira ; gold with 1,081,200m Naira per ounce as market value attracts 36,436 Naira royalty per tonne; lead/zinc concentrate with 480,000 Naira per tonne as market value attracts a royalty of 14,400 Naira per tonne.
“Licence to manufacture explosives now costs 20m Naira, modifying explosives, 10m Naira and sale of explosives for mining, 500,000 Naira. While mineral resources map of Nigeria will cost 500,000 Naira and the geological map of Nigeria now costs 300,000 Naira.”
Dr. Alake underscored the fairness of the new rates, aligning them with the sector’s operational costs and the benefits reaped by stakeholders.
He said initiative aims to align with recent qualitative improvements, technological upgrades, and infrastructural developments aimed at enhancing operational efficiency and accommodating increased business interest in the sector.
The Minister said comprehensive details of the new rates regime would be posted on the Ministry’s website;
https://www.msmd.gov.ng/
Dr. Alake said key achievements underpinning this reform include the successful implementation of the Mindiver Project, which saw significant upgrades such as the EMC+ Portal at the Mining Cadastre Office, facilitating 24-hour application processing and enhancing transparency.
Furthermore, the Minister said the Nigerian Geological Survey Agency’s acquisition of an integrated geological database and the Artisanal and Small-Scale Miners Department’s electronic inventory system were noted as pivotal advancements supporting sector growth and governance.
Dr. Alake assured stakeholders of ongoing engagement, citing a recent stakeholders’ summit aimed at familiarising the public with upcoming reforms.
He expressed gratitude for their support and reiterated the Ministry’s commitment to improving the business environment within Nigeria’s Mining Sector.
Mercy Chukwudiebere
