Mkpoikana Udoma
Port Harcourt — In a move set to redefine investor confidence in Nigeria’s mining sector, the Federal Government says it has allocated an unprecedented N1 trillion for mineral exploration, marking the largest such investment in the country’s history.
The Minister of Solid Minerals Development, Dr. Dele Alake, disclosed the landmark allocation during a feature interview for an upcoming State House documentary commemorating President Bola Tinubu’s second year in office.
According to the Minister, the Tinubu administration is correcting decades of underinvestment in geological data, an essential building block for attracting serious global capital.
“Exploration is key. When we came in, Nigeria had spent just $2 million on mineral exploration. Sierra Leone spent $40 million, Côte d’Ivoire $148 million, and South Africa over $300 million. No serious investor will touch your sector without credible data.”
The N1 trillion budget, earmarked for the current fiscal year, will be used to generate internationally certified geological data that meets the standards demanded by global mining firms and development finance institutions.
Analysts see the move as a strategic shift from Nigeria’s historical reliance on oil revenue toward long-term economic diversification anchored on solid minerals.
“We are now focused on turning our mineral wealth into domestic economic value, jobs, technology, and manufacturing,” Alake added.
Nigeria is rich in over 40 commercially viable mineral resources, including lithium, gold, nickel, cobalt, and rare earth elements, all critical to the global energy transition, however, a lack of credible data has long kept investors at bay, according the Minister.
Alake said the new allocation would give Nigeria a competitive edge in the global race for critical minerals.
“It’s not just about what’s underground, it’s about proving it, mapping it, and certifying it. That’s how you unlock billions in private sector capital,” he said.
The exploration budget comes as part of the administration’s broader mining sector reform, which includes strict enforcement of local value addition, revamped licensing processes, and the crackdown on illegal mining.
“As a result, Nigeria has seen over $800 million in new mineral processing investments in the past year, with major lithium refineries springing up across Kaduna, Abuja, and Nasarawa.”
The Minister revealed that investors’ interest is surging, with more than 10,000 applications for mining licenses received by the Mining Cadastral Office in the first quarter of 2025 alone.
“This is not just theory, it’s working. We’re building a credible, investable sector that is set to power Nigeria’s industrial future,” Alake said.
