The Nigeria Extractive Industries Transparency Initiative (NEITI) has welcomed the Federal Government’s decision to revoke 1,263 mineral licences for non‑payment of statutory fees and royalties. NEITI described the action as “bold, timely, and consistent” with its own findings, which have repeatedly highlighted a culture of non‑compliance among mineral title holders.
The revoked licences comprise 584 exploration licences, 65 mining leases, 144 quarry licences and 470 small‑scale mining leases. This brings the total number of mineral titles cancelled under the current administration to 3,794, including 619 licences revoked for non‑payment of service fees and 912 cancelled in the previous year due to inactivity.
NEITI’s 2023 Solid Minerals Industry Report revealed that 1,619 companies owe the government N680.3 million in unpaid fees and royalties. Similar patterns of non‑compliance were documented in earlier reports, with 238 companies owing N1.06 billion in 2021 and over 2,000 companies owing a combined N2.76 billion in 2020.
Executive Secretary Orjin Ogbonnaya Orji emphasized that the revocation sends a clear message: mineral titles are not speculative assets but legal instruments that carry defined obligations. The move is expected to deter future defaults, attract serious investors, and promote responsible exploration and mining. By freeing licences from dormant or non‑compliant operators, the government aims to open the sector to genuine investors, increase competition and improve the overall investment climate. This should boost revenue collection and address long‑standing leakages in the solid minerals sector.
Enforcing compliance is also seen as essential for promoting transparency and accountability in the extractive industry, which is critical for rebuilding trust and achieving Nigeria’s economic diversification goals. The Ministry of Solid Minerals Development and the Mining Cadastral Office have been praised for their decisive action on issues repeatedly raised by NEITI in its audits. Nonetheless, NEITI has called for the urgent development of a comprehensive reform strategy for the solid minerals industry to ensure sustained growth and development.
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