The Ministry of Solid Minerals Development, under the leadership of Minister Dele Alake, has taken decisive action by revoking 1,633 mineral titles previously granted to non-compliant mining companies. This revocation stems from the companies’ failure to fulfill their obligations by paying the mandatory annual service fees of N1,500 per cadastral unit.
During a press briefing in Abuja, Minister Dele Alake expressed concern over the mining firms’ non-payment despite their years of mining operations, which had generated significant profits. He emphasized the Ministry’s commitment to upholding Sections 10, 11, and 12 of the Mining Act, ensuring adherence to regulatory obligations within the solid minerals sector.
Alake highlighted the incongruity of mining entities benefiting from significant revenues but neglecting their nominal obligations to the government. He remarked that the sum owed by these companies paled in comparison to their substantial revenue projections and suggested a lack of willingness to fulfill their broader fiscal responsibilities.
The revocation affected various types of mineral titles, including Exploration Licences, Quarry Licences, Small Scale Mining Licences, and Mining Leases, totaling 1,633 titles. Despite issuing written default notices and granting a thirty-day grace period for payment, only 580 out of 2,213 titleholders responded and settled their dues.
Alake invoked the powers vested in him by the NMMA 2007, Section 5 (a), to approve the revocation of these mineral titles, urging the revoked entities to vacate their mining sites promptly to avoid potential legal repercussions.
Additionally, Alake clarified the Ministry’s process for notifying defaulting parties, emphasizing the obligations of mining entities to pay prescribed fees. He emphasized that the failure to comply within the stipulated period warranted the revocation of mineral titles, in line with regulatory provisions.
This stringent regulatory action underscores the government’s commitment to ensuring compliance within the solid minerals sector, creating a level playing field for potential investors and fostering responsible and ethical practices among mining entities.
