Abuja: The Nigeria Mining Cadastre Office (NMCO) has revealed a significant discrepancy in the mining sector, with only 1,000 out of 7,141 issued mining licenses currently active. This information was disclosed by Director General Obadiah Nkom during a meeting with the House Committee on Solid Minerals, led by Chairman Jonathan Gaza, at NMCO’s office.
According to News Agency of Nigeria, Nkom emphasized the urgent need for reforms within the sector, pointing to the recent review of mining fees and the ownership of mining titles as measures aimed at sanitizing the industry. He expressed concern over the large number of inactive licenses, stating, “We shouldn’t have 7,000 licenses with less than 1,000 active mines,” and noted the agency’s struggle with inadequate funding despite generating over N8 billion in revenue as of October.
Nkom appealed to the committee to address the funding issues, highlighting that NMCO contributes more than 50 percent of the sector’s revenue but lacks collection fees. He also ment
ioned the agency’s progress in digitization, transitioning to a web-based platform to enhance global access and transparency. Furthermore, in collaboration with the Economic and Financial Crimes Commission (EFCC), NMCO has developed guidelines for establishing an anti-money laundering unit.
On his part, Jonathan Gaza expressed concerns about the licensing process, particularly the issue of consent, and the ongoing problem of illegal mining despite the large number of issued licenses. Gaza also emphasized the need to address the agency’s inadequate funding, which could potentially impact its productivity. He assured that the committee would present the situation to the Minister of Solid Minerals Development, Dr. Dele Alake, for appropriate action.
According to Gaza, the oversight visit aimed to evaluate the performance of various agencies within the solid minerals ministry to ensure they are significantly contributing to economic diversification.