Nigeria has 42 billion barrels of Bitumen, to become net exporter –Dele Alake tells Investors

Dele Alake, the Minister of Solid Minerals Development, recently emphasized Nigeria’s potential to become a net exporter of bitumen instead of relying on imports. During the bidding process for Bitumen blocks in Abuja, Alake addressed the concessionaires and urged them to fulfill their obligations under the mining act and engage with host communities.

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With Nigeria possessing an estimated reserve of 42 billion barrels of bitumen, the second-largest deposit in the world, Alake stressed that the country should capitalize on this resource and become a major net exporter on the global market. He emphasized the importance of tax payment, royalty remittance, local value addition, employment generation, and positive impacts on host communities as key factors for successful operations.

Alake encouraged the initial winners of the bidding process to demonstrate outstanding performance to motivate potential investors and create a favorable investment climate. He acknowledged the challenges faced by Nigeria in fully harnessing its mineral resources, including inadequate incentives, illegal activities, limited investment opportunities, and neglect.

To address these issues, the federal government is actively working to attract more investment in the mining sector by issuing additional licenses. Furthermore, a state-owned corporation for solid minerals has been established, offering investors a 75% ownership stake. To combat illegal mining activities, a dedicated security unit has been formed to ensure the sector’s protection and legality.

Alake’s statements highlight the government’s commitment to developing Nigeria’s mining sector and leveraging its abundant bitumen reserves for economic growth and sustainable development.

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