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Nigerian Government Cancels Over 1,200 Mining Licences, Opening Space for Committed SME

Olusola Blessing by Olusola Blessing
September 22, 2025
in Business, News
0
Nigerian Government Cancels Over 1,200 Mining Licences, Opening Space for Committed SME
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The Nigerian government has revoked the operating licences of 1,263 mining title holders for failing to pay their annual service fees, in a move aimed at sanitising the sector and creating fresh opportunities for serious small and medium-scale investors.

According to the Ministry of Solid Minerals Development, the licences revoked include 584 exploration licences, 65 mining leases, 144 quarry licences, and 470 small-scale mining leases. The affected titles will be deleted from the electronic mining cadastre system managed by the Nigerian Mining Cadastral Office (MCO).

Authorities explained that enforcing the law is intended to discourage speculation in the sector, where some licence holders secure mining rights only to resell them at higher prices instead of investing in exploration and production. The ministry said the revocation will allow new applications from entrepreneurs and SMEs who are ready to develop sites and contribute to the growth of the industry.

The government also warned that licence holders whose permits were cancelled still owe outstanding service fees. The list of defaulters will be forwarded to the Economic and Financial Crimes Commission (EFCC) for recovery. Officials stressed that payment of the annual service fee is the minimum proof of commitment to mining operations and urged future applicants to comply with the law.

The revocation process began after the government published its intention to withdraw the licences in a federal gazette on June 19, 2025, giving defaulters 30 days to regularise their status. Out of 1,957 initial defaulters, 694 were able to resolve their cases, while the remaining 1,263 licences were cancelled. Authorities noted that some delays in the process came from reconciling payments made through official channels like Remita, following complaints from some operators.

Officials said the decision will strengthen transparency in the sector, clear room for credible investors, and ensure Nigeria’s mineral resources are put to more productive use.

 

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