The Minister of Solid Minerals Development, Dele Alake, has announced a transformative new rates regime for services provided by the Ministry’s departments and agencies.
Alake disclosed the new rates during a press briefing held at the Ministry’s Headquarters in Abuja.
He emphasized the necessity of adjusting rates to reflect the substantial investments made by the government in improving services.
The new rates ensure that beneficiaries of these services contribute equitably to the sector’s sustainability.
“For instance, we supervised the successful implementation and conclusion of the mineral sector support for economic Diversification, MinDiver project,” the Minister stated.
Elaborating further, Dr Alake explained, “The new rates regime, in line with the Ministry’s seven-point agenda, is designed to reflect the qualitative measures and technological advancements recently implemented.
These enhancements aim to elevate the technical efficiency of services, streamline transaction processes, and bolster the infrastructure necessary to support the surge in business interest.”
Alake highlighted that the Mining Cadastre Office, responsible for licensing, has acquired a new mining information system, the EMC+ portal, enabling a 24-hour application and administration system.
She stated that the system has accelerated the rate of applications and access for applicants to the MCO.
The major highlights of the new rates regime, covering 268 items, include:
Mining Lease applicants will pay N3 million
Reconnaissance Permit: N300,000
Exploration Licence: N600,000
Small-Scale Mining Licence: N300,000
Quarry Lease: N600,000
Water User Permit: N300,000
Annual service fees include N31,500 per cadastral unit for the first time, Small Scale Mining N260,000, Quarry Lease N500,000, and Mining Lease N1,250,000.
Penalties for late renewal of mineral titles are also specified: reconnaissance permit N600,000, exploration licence N1,500,000, mining lease N300,000, and quarry lease N1,250,000.
Royalty rates have increased by 100%, with specific rates for various minerals.
For instance, Baryte with a market value of N42,000 per tonne attracts a N2,100 royalty, while Gold with a market value of N1,081,200 per ounce attracts a N14,400 royalty per tonne. Lithium Ore (Lepidolite) at N600,000 per tonne attracts an N18,000 royalty per tonne, and Lithium Ore (Spodumene) with a market value of N316,667 per tonne attracts a N9,500 royalty per tonne.
Other significant fees include:
Licence for Explosives: N500,000 to N20 million
Gold Refining Licence: N5 million
Mineral Processor Permit: N100,000
Mineral Resources Map: N500,000
Geological Map of Nigeria: N300,000
Alake also highlighted several successful initiatives of the Ministry, such as the creation of the first electronic inventory of operators in the Artisanal and Small-Scale Miners Department, enhancing training, extension services, and government support for artisanal miners’ cooperatives.
