Nigeria Pledges Strong Legal Cover For Mining Investors
By AUGUSTINA McSOLOMON-OGHAKPERUO
NIGERIA has reaffirmed its commitment to protecting foreign investments in the mining sector, with the Minister of Solid Minerals Development, Dele Alake, assuring stakeholders of strong legal safeguards under the Cape Town Convention on International Interests in Mobile Equipment.
The minister gave the assurance in Cape Town, South Africa, during the signing of a Memorandum of Understanding (MoU) between Dukia Gold & Precious Metals Refining Company Limited and SGS Bateman. The agreement was executed on the sidelines of the Investing in African Mining Indaba, a major continental investment forum.
Legal Framework to Boost Confidence
Alake emphasized that Nigeria’s status as a signatory to the Cape Town Convention offers internationally recognised protections for lenders, leasing firms, and equipment financiers deploying high-value mining assets into the country.
The treaty standardises transactions involving movable equipment and provides clear mechanisms for asset registration, enforcement of security interests, and repossession rights in cases of default. According to the minister, this framework strengthens confidence in project finance arrangements and structured equipment procurement.
He noted that such protections are particularly important for capital-intensive mining operations where mobile equipment represents a substantial share of project costs.
Dukia–Arinola Project in Focus
The MoU supports the Dukia–Arinola Mineral Resources Development Project located in Ondo State’s Igarra Schist Belt. Structured as a scalable polymetallic “Mine-to-Market” initiative, the project spans about 184 square kilometres and has undergone detailed geological mapping and drilling.
Alake described the initiative as a landmark in Nigeria’s drive to diversify its economy and reduce reliance on oil revenues. He highlighted ongoing sector reforms, including streamlined licensing, improved regulatory clarity, and investor-friendly fiscal incentives, which he said are already contributing to increased mining sector participation in GDP.
Call for Global Partnerships
The minister invited international contractors, engineering firms, and equipment manufacturers to participate in upcoming project phases through Requests for Proposals and Expressions of Interest. He encouraged partnerships that integrate capable Nigerian firms to strengthen local content.
Nigeria, he said, is positioning itself as a reliable hub for critical and strategic minerals, anchored on responsible sourcing and global best practices.
