• 26 May, 2025
• FAITH MIMDOO KEGH
• No comment

Nigeria Nears Completion of $600m Lithium Processing Plant.

The Nigerian government has completed a \$600 millio

n lithium processing plant near the Kaduna-Niger border, set to be commissioned this quarter. Additionally, a \$200 million lithium refinery near Abuja is almost finished, and two more plants in Nasarawa State are expected to begin operations before the third quarter of 2025.

These developments are part of broader reforms in the solid minerals sector under President Bola Tinubu’s administration. According to Minister of Solid Minerals Development, Dr. Dele Alake, the sector generated over N38 billion in 2024, up from N6 billion the previous year, despite receiving only 18% of its allocated budget.

Alake, speaking in a State House interview, credited the sector’s growth to aggressive reforms focused on local processing, stricter licensing regulations, and a crackdown on illegal mining. He noted that over \$800 million in foreign investment was recorded in 2024 due to these efforts.

He emphasized that mining licences are now only granted with clear plans for local value addition, marking an end to the export of raw minerals. The government has also launched a major push for exploration, backed by a N1 trillion allocation for 2025.

In the first quarter of 2025, the Mining Cadastral Office and the Mines Inspectorate reported revenues of N6.9 billion and N7 billion respectively. Alake stressed that credible geological data is essential to attracting global investors, pointing out that Nigeria had previously spent far less on exploration than other African nations.

To support job creation and formalize the sector, the government has established over 250 mining cooperatives. Alongside enforcement actions that led to more than 300 arrests and multiple convictions in 2024, the administration is also integrating informal miners into the legal framework.

Alake concluded that the dual strategy of enforcement and empowerment is reshaping Nigeria’s mining landscape, aiming to drive industrial growth and sustainable development.

FAITH MIMDOO KEGH

Manager – Oversees the daily operations, editorial planning, and strategic direction of the platform. A graduate with a solid academic foundation in media and communication, Faith brings a wealth of experience to the TokinPoint.

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