A stable partnership between state governments and mining operators is essential for boosting investment and driving growth in Nigeria’s mining sector, says the Minister of Solid Minerals Development, Dr. Dele Alake. During a mediation meeting with Osun State Governor, Ademola Adeleke, and representatives of Segilola Resources Operating Limited, SROL, in Abuja.
Alake emphasized the role of solid minerals in the federal government’s economic diversification strategy. He warned that conflicting policies and strained relationships between operators and state governments could deter foreign investors.
“In a business environment with multiple regulatory authorities, investors are discouraged,” he said. “Solid minerals belong exclusively to the federal government, but when sub-national governments issue conflicting directives, it deters critical investments.”
The minister urged an amicable resolution of the dispute between Osun State and SROL, stressing that a business-friendly environment would boost revenue and attract foreign direct investment.
At the peak of the dispute, which led to the shutdown of SROL’s operations by the Osun State government, Alake had set up a committee led by Engr. Ganiyu Imam, Director of the Ministry’s Mines Inspectorate, to investigate the matter. Based on the committee’s findings, the minister convened the meeting to mediate and seek a resolution.
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Governor Adeleke welcomed the intervention, reaffirming his administration’s commitment to enhancing the ease of doing business while upholding ethical mining standards. He expressed readiness to find common ground with Segilola Resources to ensure seamless mining activities in Osun.
Special Adviser to the Governor on Mining and Mineral Resources, Prof. Lukman Jimoda, outlined the key issues fueling the dispute, including disputed tax claims—particularly Pay As You Earn—Osun’s shareholding in the company, environmental concerns, and the broader economic benefits the state should derive from Segilola’s operations.
Following extensive deliberations, both parties pledged to continue discussions to resolve outstanding matters. The meeting concluded with the formal presentation of Osun’s shareholding certificate to Governor Adeleke by Segilola Resources Limited.
The meeting was attended by top Osun State officials, including Special Adviser on Media and Publicity, Olawale Rasheed. Representing Segilola Resources were MD/CEO Segun Lawson, Country Director Austin Menegbo, and Non-Executive Directors Folorunsho Adeoye and Kayode Aderinokun.
Crediblenewsng.com
