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Artisanal and Medium Scale Mining in
Nigeria
Presentation
by
A.M TUKURA
Ministry of Mines and Steel Development
Country profile
• Country: Nigeria
• Capital: Abuja
• Population:160, 000, 000 million
• Land Area:923,768 sq. km (356,700 sq. miles)
• Currency: Naira
• 500 Minerals spread all over 36 states and FCT
Mineral Profile
• coal,
• bauxite,
• tantalite,
• gold,
• tin,
• iron ore,
• limestone,
• niobium,
• lead and
• zinc
But to mention but a few.
• Nigeria also has a wide
array of underexploited
mineral resources which
includes:
GEMSTONES
Mineral Facts
• 90% mineral production in Nigeria is in artisanal
• Over 500,000 ASM Miners in Nigeria
• About 800 registered ASM miners with the Ministry of Mines and Steel
Development
• Artisanal and Small Scale Mining sector is a significant generator of rural
livelihoods that has the potential to alleviate poverty and be a tool for
sustainable development.
• Nigeria has bitumen of estimated reserves of 27 billion barrels of oil
equivalent,
• Coal has a reserve of 2.7 billion tones,
• Iron ore of estimated resources of 3 billion tones.
• Limestone estimated resources of 2.23trillion tones,
• Barites of estimated resource of 14million tones.
• Gold 50, 000 onces at 10 locations
What is ASM?
(Artisanal and Small Scale Mining)
.
Small scale miners
ASM ACCORDING TO THE NIGERIAN MINERAL
AND MINING LAW, 2007
Artisanal Mining according to Minerals and Mining Act, 2007 means:
• Mining operations limited to the utilization of non mechanized methods of
reconnaissance, exploration, extraction and processing of mineral resources
within a Small-scale Mining Lease Area.
Small-Scale Mining means:
• Artisanal, Alluvial and other forms of mining operations involving the use of low
level technology or application of methods not requiring substantial
expenditure for the Conduct of Mining Operations Within Small-Scale Lease
Areas.
ISSUES THAT CHARACTERIZE THE SECTOR
• lack or very reduced degree of mechanization, great amount of physically
demanding work
• low level of occupational safety and health care deficient qualification of the
personnel on all level of the operation
• inefficiency in the exploitation and processing of the mineral production (low
recovery of values)
• exploitation of marginal and/or very small deposits, which are not
economically exploitable by mechanized mining
• low level of productivity
• low level of salaries and income
• periodical operation by local peasants or according to the market price
development
• insufficient consideration of environmental issues
• chronically lack of working and investment capital
• mostly working without legal mining titles
Investing in Solid
Minerals
Government have put attractive incentives for investors who are willing
to capitalize on the plethora opportunities in Nigeria
• Government has created enabling environment required to stimulate
sustainable growth
• Grant of a three-year tax holiday to new mining companies.
• tax incentives such as the reduction of Companies Profit Tax from
35% to 30%
• Capital Gains Tax has been reduced from 20% to 10% for prospective
investors.
AREAS TO ASSIST THE ASM
• Mineral reserve evaluation techniques.
• Design and planning.
• Application of modern mining technology.
• Waste and tailing disposal methods.
• Health and Safety procedure.
• Entrepreneurship, legal, mineral marketing and mineral
economics.
• Provide teaching equipment and plants hire on arrangement
with manufacturers.
• Mineral processing technology skills.
continued
• Generate income-through bank loans
• Create adequate information on the available market for the
product
• Enlighten and generation of ideas for the small scale miners for
the mining credits from financial institutions
• Provide capacity building workshops for the small scale miners
• Provide courses for the artisanal and small–scale miners both
local and internationally.
THANK YOU!
TANAK YOU

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Artisanal and Small-Scale Mining in Nigeria: Presentation on Opportunities and Support

  • 1. Artisanal and Medium Scale Mining in Nigeria Presentation by A.M TUKURA Ministry of Mines and Steel Development
  • 2. Country profile • Country: Nigeria • Capital: Abuja • Population:160, 000, 000 million • Land Area:923,768 sq. km (356,700 sq. miles) • Currency: Naira • 500 Minerals spread all over 36 states and FCT
  • 3. Mineral Profile • coal, • bauxite, • tantalite, • gold, • tin, • iron ore, • limestone, • niobium, • lead and • zinc But to mention but a few. • Nigeria also has a wide array of underexploited mineral resources which includes:
  • 5. Mineral Facts • 90% mineral production in Nigeria is in artisanal • Over 500,000 ASM Miners in Nigeria • About 800 registered ASM miners with the Ministry of Mines and Steel Development • Artisanal and Small Scale Mining sector is a significant generator of rural livelihoods that has the potential to alleviate poverty and be a tool for sustainable development. • Nigeria has bitumen of estimated reserves of 27 billion barrels of oil equivalent, • Coal has a reserve of 2.7 billion tones, • Iron ore of estimated resources of 3 billion tones. • Limestone estimated resources of 2.23trillion tones, • Barites of estimated resource of 14million tones. • Gold 50, 000 onces at 10 locations
  • 6. What is ASM? (Artisanal and Small Scale Mining)
  • 8. ASM ACCORDING TO THE NIGERIAN MINERAL AND MINING LAW, 2007 Artisanal Mining according to Minerals and Mining Act, 2007 means: • Mining operations limited to the utilization of non mechanized methods of reconnaissance, exploration, extraction and processing of mineral resources within a Small-scale Mining Lease Area. Small-Scale Mining means: • Artisanal, Alluvial and other forms of mining operations involving the use of low level technology or application of methods not requiring substantial expenditure for the Conduct of Mining Operations Within Small-Scale Lease Areas.
  • 9. ISSUES THAT CHARACTERIZE THE SECTOR • lack or very reduced degree of mechanization, great amount of physically demanding work • low level of occupational safety and health care deficient qualification of the personnel on all level of the operation • inefficiency in the exploitation and processing of the mineral production (low recovery of values) • exploitation of marginal and/or very small deposits, which are not economically exploitable by mechanized mining • low level of productivity • low level of salaries and income • periodical operation by local peasants or according to the market price development • insufficient consideration of environmental issues • chronically lack of working and investment capital • mostly working without legal mining titles
  • 10. Investing in Solid Minerals Government have put attractive incentives for investors who are willing to capitalize on the plethora opportunities in Nigeria • Government has created enabling environment required to stimulate sustainable growth • Grant of a three-year tax holiday to new mining companies. • tax incentives such as the reduction of Companies Profit Tax from 35% to 30% • Capital Gains Tax has been reduced from 20% to 10% for prospective investors.
  • 11. AREAS TO ASSIST THE ASM • Mineral reserve evaluation techniques. • Design and planning. • Application of modern mining technology. • Waste and tailing disposal methods. • Health and Safety procedure. • Entrepreneurship, legal, mineral marketing and mineral economics. • Provide teaching equipment and plants hire on arrangement with manufacturers. • Mineral processing technology skills.
  • 12. continued • Generate income-through bank loans • Create adequate information on the available market for the product • Enlighten and generation of ideas for the small scale miners for the mining credits from financial institutions • Provide capacity building workshops for the small scale miners • Provide courses for the artisanal and small–scale miners both local and internationally.

Editor's Notes

  1. Small scale miners