According to a report by the Nigerian Extractives Industry Transparency Initiative (NEITI), Nigeria’s solid minerals sector generated a mere $1.4 billion in revenue over a 13-year period.
In response to this underperformance, NEITI has launched a strategic plan for 2022–2026 aimed at revitalizing the sector through increased investments, transparency, and capacity building.
Dr. Ogbonnaya Orji, the Executive Secretary of NEITI, emphasized the long-standing neglect of the solid minerals sector and highlighted its potential to contribute more than 60% to Nigeria’s GDP if properly developed.
Speaking at the launch of NEITI’s 2022–2026 Strategic Plan in Abuja, Dr. Orji emphasized the need for immediate action.
The strategic plan addresses various challenges, including the global energy transition, contract transparency, and government partnerships.
It outlines three primary objectives: enhancing governance reforms through policy research, stakeholder engagement, communication, and collaboration among agencies; prioritizing national and international reporting standards; and achieving operational excellence through professionalism, innovation, technology adoption, resource management, and capacity building.
Dr. Orji underscored the vast potential of the solid minerals sector and its capacity to outperform the oil industry, stating, “Our projection is that if the solid mineral sector is opened up for investment, it could contribute more than 60% to the nation’s GDP. This would surpass the contributions of the oil sector.”
He further emphasized the need to tap into this potential, citing NEITI’s comprehensive study on the sector’s prospects.
He also highlighted the stark contrast in revenue generation between the solid minerals sector and the oil and gas sector, with a total of N624.1 billion ($1.4 billion at the current exchange rate) earned over 13 years compared to the substantial $394 billion generated in just 10 years from oil and gas.
Dr. Orji expressed concern over the negligence of the solid minerals sector’s immense potential and reaffirmed NEITI’s commitment to promoting transparency, accountability, and trust among stakeholders through the disclosure of government revenues and responsible management of solid mineral resources.
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