FG, US plan mining cooperation deal on sidelines of UNGA

Nigeria and the United States are planning to strengthen their partnership in the mining industry, with a Memorandum of Understanding (MOU) on mining cooperation set to be signed during the United Nations General Assembly (UNGA) in New York. The announcement was made by the Special Assistant on Media to the Minister of Solid Minerals Development, Lara Owoeye-Wise, in a statement on Sunday.

The MOU is a result of discussions between Nigeria's Minister of Solid Minerals Development, Dele Alake, and the U.S. Embassy's Chargé d’Affaires, Keith Heffern, in Abuja. This meeting was a follow-up to a high-level engagement earlier this year, where Alake led a delegation to Washington, D.C., for talks with David Copley, a senior official at the National Security Council.

The focus of these discussions was to broaden cooperation across the entire mining value chain, including geological exploration, mining, processing, value addition, and refining. The development of secure and resilient mineral supply chains was also emphasized, as they are vital for the global energy transition. The minister briefed the U.S. delegation on ongoing reforms in Nigeria's mining sector, including the digitization of geological data to provide investors with reliable information on mineral occurrences.

Nigeria boasts a wide distribution of mineral resources, with key deposits found in states such as Zamfara, Nasarawa, Kebbi, and Taraba. The conversation also addressed the regulatory framework governing mining, with Alake explaining that while mineral resources fall under the Federal Government's exclusive jurisdiction, states can establish Special Purpose Vehicles to apply for licenses for exploitation.

Several states have already obtained approved licenses, which have helped ease earlier regulatory tensions and provided investors with greater clarity. The meeting also reviewed the interest shown by major international mining companies, such as Fortescue, Glencore, and BHP, in Nigeria. A Nigerian group focusing on Africa's mineral sector, chaired by Alake, is set to hold a side event in New York during the UNGA to connect U.S. investors with opportunities across Africa's mining value chain.

The emerging Nigeria-US mining cooperation aligns with President Bola Ahmed Tinubu's Renewed Hope Agenda, which prioritizes economic diversification, industrialization, job creation, and attracting strategic foreign investment.