Transcript Slide 1

MINISTRY
OFofMINES
STEEL
DEVELOPMENT,NIGERIA
NIGERIA
Ministry
Mines
and
SteelDEVELOPMENT,
Development
MINISTRY
OF MINES
ANDAND
STEEL
NIGERIA: A PREFERRED DESTINATION
FOR MINING INVESTMENT
A PRESENTATION AT
MINE AFRICA, PDAC 2011
BY
ARC. MUSA MOHAMMED SADA, fnia
HON. MINISTER OF MINES AND STEEL
DEVELOPMENT, NIGERIA
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8 MARCH, 2011
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
 Nigeria currently known as an oil rich country
 Before oil discovery, Nigeria had a glorious mining
history
 Produced and exported Tin, Columbite, Coal,
Tantalite, Gold etc
 Mining neglected with the discovery of oil
 Now Nigeria is determined to diversify the economy
away from oil
 Minerals sector holds the key to the success of the
diversification strategy
 NIGERIA IS COMMITTED TO DEVELOP MINING
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
THE REFORM AGENDA
 Robust Reform Programme commenced in 2005
 Strongly supported by the World Bank
 A National Policy on Mining with clear direction
for future growth is concluded
 Thrust of the policy ensures private sector as
main engine of growth for the sector
 Government now a regulator-administrator,
creating conducive environment for growth
3 Government mining enterprises privatised.
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
ADOPTED TRANSFORMATION PATHS FOR GROWTH
Regulatory Framework
Institutional Capacity Building
Generation of Reliable Data
Sustainable Mining (Environmental and
Social Framework)
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
REGULATORY FRAMEWORK
MINERALS AND MINING ACT 2007
The Nigerian Minerals and Mining Act 2007 enacted.
The key elements of the Act are:
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Access to mineral title open to all investors, big or small, foreign or local
on a level and equitable playing field, and on first come, first served
basis
Guaranteed security of tenure and transferability of mineral rights.
The application of “Use it or lose it” principle in Mineral title
administration.
Provision for sound environmental control and Community Development
agreements.
Involvement of other stakeholders through the creation of States.
Mineral resources and Environmental management committees to
facilitate access to land.
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
INSTITUTIONAL CREATION AND STRENGTHENING
MINING CADASTRE OFFICE
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A well organised, uniform, interactive cadastre system
has been created
The Agency is autonomous with sole responsibility for
the grant and administration of titles
Non-discretionary and respect for “first come first
served”
Has exclusive authority and jurisdiction over the whole of
Nigeria
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
INSTITUTIONAL CREATION AND STRENGHTENING
NIGERIAN GEOLOGICAL SURVEY AGENCY (NGSA)
■ Created to generate and disseminate credible
geoscientific data of Nigeria including;
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Geological/mineral maps on various scales
Airborne geophysical data
59 elements Geochemical data.
Published geological bulletins, Reports,
Occasional Papers and minerals occurrences database
Hydro/Engineering geological maps of cities.
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
INSTITUTIONAL CREATION AND STRENGTHENING
THE NIGERIAN INSTITUTE OF MINING AND GEOSCIENCE (NIMG)
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The Institute is set up to provide manpower training and
institutional capacity building for the mining sector
Conducts focused, need-driven research in mining and
geosciences and provides practical laboratory and field
exposures to university professors and postgraduate
students
Offers postgraduate diploma courses in Mining
Engineering, Mineral Engineering and Mineral
Exploration
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
AVAILABILITY OF RELIABLE DATA
AIRBORNE GEOPHYSICAL SURVEY
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100% coverage of high resolution airborne magnetic and
Radiometric data.
Made up of 2,001,705 line kilometers of magnetic and
radiometric data, limited Electromagnetic.
Gravity measurements in Niger Delta Region
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
AVAILABILITY OF RELIABLE DATA
FLIGHT PARAMETERS
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Flight parameters targeted at mineral exploration.
Flight height of 80 meters (mean Terrain Clearance)
Traverse line spacing of 500 meters
In Niger Delta flight direction was across the major
structural trends
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
AVAILABILITY OF RELIABLE DATA
INTERPRETATION PRODUCTS
 Mineral prospectivity
 Digital interpretation maps of entire country on 1;250,000
scale (geology & geophysics)
 Major structures hosting minerals
 Depth to magnetic basement with discussions.
 Mega structures in the Niger Delta with depths/thickness
of basins in aid of Oil/Gas explorations.
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
OUTPUT; INTERPRETED GEOLOGICAL
MAP OF NIGERIA
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
GEOCHEMICAL MAPPING
■ Completed 6nos. GRN master cells with the British
Geological Survey supervision.
■ Coverage at 1 sample/20sq km sampling density
■ 59 elements analysis including precious and base
metals.
■ Rare earth metals like lanthanum, Cerium, Neodymin
and Yttrium.
■ Anomalous sites for gold, platinum, Thoruim, and ore
earch metals indicated.
■ Anomalous sites for gold, Platinum, Uranuim thoruim
and Rare Earth metals indicated.
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
Environmental and Social Framework
 Sectoral Environmental & Social Assessment (SESA)has been
concluded
 Environmental Guidelines adequately covered in draft mining
regulations
 Extensive capacity building amongst other Government agencies
responsible for environmental & social regulations in Nigeria.
 Mineral resources & environmental management committee
(MIREMCO) established in 36 states to assist operators in
environmental management & community relations.
 Development Credit Agreement being adopted for community
development agreement in mining.
 The Department of Artisanal & Small Scale Mining (ASM) was
created in the Ministry to organize the artisanal & small scale miners
& promote conducive environment for operators.
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
EXPLORATION OPPORTUNITIES IN NIGERIA
 Nigeria has favourable conditions for exploration
 Reliable geological data in digital format
 Developed infrastructure – good road network;
very good communication system etc
 Local skilled geoscientist and engineers
available
 Friendly people
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
GOLD
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Nigeria known for informal
gold mining and trade in the
18th century
Gold now known to occur in
several locations
Primary belt stretches from
Osun-Ondo States in the
southwest to Niger, Kaduna,
Zamfara, Kebbi States in
the northwest
Already CGA has a proven
gold reserve of over
600,000 ounces in their
Eperindo property in Osun
state
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
LEAD/ZINC
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Lead-Zinc mineralization is
located along Northeast –
Southwest belt
Three belts are outstanding
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Lower Benue Through
mineralization (Abakaliki,
etc)
Middle Benue Through
mineralization (Anifu,
Awana)
Upper Benue Through
mineralization (Isimiya, Digi
etc)
New exploration findings in
several parts of Nigeria
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
IRON ORE
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Two broad types of Iron Ore in
Nigeria
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Banded Iron formations in
folded bands in the
precambrian rocks e.g. Itakpe,
Tajimi
Sedimentary (oolitic) Iron
deposits
General Fe concentration is 35
– 50%
Itakpe Iron ore deposit
currently mined and processed
for the Ajaokuta Steel Mill
Several Iron finds in northwest
and northeast
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
OIL SANDS
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Huge reserves of oil sands in
Nigeria
Occur as surface/near surface
impregnated sediments and as
subsurface bitumenous sands
Extensive exploration work
carried out in the belt
Documentation of study results
available including correlation
panels of wells drilled and cored
and unprocessed 2D seismic
data
Blocks delineated for
concessioning
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
COAL RESOURCES OF NIGERIA
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Coal exists in 13 States of
the country
Current exploration
results indicate over one
trillion tonnes
Development of Coal for
power generation – a
priority of government
Bauchi
Adamawa
Plateau
Kwara
Nasarawa
Taraba
Kogi
Ondo
Edo
Enugu
Anambra
Delta
Imo
Benue
Locations of Coal and Lignite in Nigeria
Coal/Lignite bearing States
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
GEMSTONE
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Nigeria is endowed with many varieties of
coloured gemstones.
Six types identified for commercial
development:
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Aquamarine
Tourmaline
Emerald
Sapphire
Garnet
Ruby
 Other gems of less
value occur in
abundance;
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Topaz
Amethyst
Floride
Zircon
Morganite
Iolite
Kunzite
MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
DEVELOPMENT OF SPECIFIC MINERALS
DIMENSION STONES
■ Nigeria has vast deposits of colorful granites and marbles
■ Baseline study concluded
■ Development plan approved by Mr. President
■ Sensitisation of available Dimension Stones to professionals,
operators etc.
■ Training of operators on quarrying and processing of Dimension
Stones
■ Establishment of a Standard Testing Laboratory for Dimension
Stones
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MINISTRY
OFofMINES
DEVELOPMENT, NIGERIA
Ministry
MinesAND
and STEEL
Steel Development
WELCOME TO NIGERIA
THE PREFERRED DESTINATION FOR
MINING INVESTMENT
THANK YOU
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