…Issues over 867 mining licenses in 2025
By Seun Ibiyemi
The Minister of Solid Minerals Development, Dr Dele Alake, has underscored the critical role of Nigeria’s capital market in unlocking the nation’s estimated $700 billion worth of untapped solid mineral assets.
Speaking at a webinar organised by NASD Plc and the Solid Minerals Development Fund (SMDF), themed “Unlocking Nigeria’s Solid Minerals Potentials Through the Capital Market”, Alake, represented by his Senior Adviser on Mining and Policy, Amira Adamu Waziri, said Nigeria’s mining-led economic transformation depends on decisive capital market engagement.
“The capital market is a critical pillar in the journey toward a sustainable mining sector,” he stated. “It can mobilise long-term financing for exploration, support junior mining companies, and attract institutional capital for infrastructure and processing hubs.”
He outlined a comprehensive seven-point reform agenda which includes the creation of a national mining corporation, the deployment of a dedicated Mines Marshals force, accelerated acquisition of geological data, formalisation of artisanal mining, enhanced local processing, increased large-scale investments, and strengthened stakeholder engagement.
Alake described Nigeria as being on the cusp of a mining renaissance, supported by strong political will and clearer regulatory frameworks under President Bola Tinubu’s Renewed Hope Agenda.
“What we now require is capital, technology, and strategic partnerships to unleash this potential,” he said, calling on both public and private stakeholders to align their resources and governance structures to drive sectoral growth.
During the event, the Executive Secretary of the Solid Minerals Development Fund, Hajia Fatimah Shinkafi, represented by Mr Abdulmajeed Amussah, announced the launch of three new funding vehicles designed to close existing finance gaps in the mining industry:
Growth Fund: To support early-stage exploration and project development.
Opportunities Fund: To accelerate mature mining projects and associated infrastructure.
Research Fund: To finance enabling policies, acquisition of geological data, and ecosystem innovation.
“Most mining projects in Nigeria are stuck at stages 1 and 2, exploration and feasibility, making them unattractive to commercial lenders,” Amussah said. “Our goal is to move them along the development curve.”
Data presented during the session exposed striking imbalances in credit allocation across sectors, with agriculture and transportation drawing a large share of bank financing, while mining remains underfunded.
With ₦10 billion already earmarked for industry development, SMDF’s strategy seeks to catalyse funding and attract institutional investors to support project advancement.
In line with the sector’s reform trajectory, NASD Plc Chief Executive Officer, Mr Eguarekhide Longe, unveiled the National Digital Securities Platform (N-DSP), a blockchain-based infrastructure designed to support tokenised mining securities.
“Through tokenised instruments like debt, equity, and mineral-backed securities, we can channel investment into exploration, production, and processing, while making capital market participation more accessible and transparent,” Longe explained.
He added that the initiative supports the government’s broader push for value addition, industrialisation, and a shift from raw mineral exports to in-country beneficiation.
Executive Commissioner at the Securities and Exchange Commission (SEC), Mr Bola Ajomole, reinforced the urgency for market action. “The capital market must not merely observe the mining renaissance. It must fund it,” he said.
Ajomole disclosed that more than 867 mining licences have been issued in 2025 alone, generating N7 billion in revenue. He added that SEC is currently developing mining bonds and royalty-backed securities under a revised Investment Securities Act.