FG Secures $150m W’Bank Support for Mining – Fayemi


The Federal Government, through the Ministry of Mines and Steel Development, has secured $ 150million (N45.7 billion) support from the World Bank for the Mineral Sector Support for Economic Diversification (MSSED or MinDiver) programme.

The Minister of Mines and Steel Development, Dr. Kayode Fayemi, who disclosed this in Abuja on Monday, said the ministry is working with the Nigerian Sovereign Investment Authority, the Nigerian Stock Exchange and other institutions to assemble a $ 600million investment fund for the sector, by first quarter of 2017.

The minister stated this in his 2016 end of year ministerial briefing and projections for Year 2017 in Abuja.

The event was attended by the Minister of State for Mines and Steel Development, Hon. Abubakar Bawa Bwari, and the Permanent Secretary of the Ministry, Mohammed Abbas.

Fayemi said:

“We have secured support from the World Bank for the funding of $ 150mn Mineral Sector Support for Economic Diversification ((Economic Diversification MSSED or MinDiver) programme.”

He added that “a critical component of the support is to provide technical assistance for the restructuring and operationalisation of the Solid Minerals Development Mining Investment Fund, which would make finance available to ASM operators through development finance, microfinance and leasing institutions.

The minister spoke of plans for the mining sector in the new year at the event which also featured the commissioning of 38 surveillance vehicles bought for mines officers, valued at about N322 million.

He said:

“The fund will also help to bring back on stream previously abandoned proven mining projects like tin ore, iron ore, coal, gold and lead-zinc
among others.”

Fayemi said the sector had witnessed some positive developments and productivity in the last one year, including a major improvement in the ministry’s contribution to the Federation Account to about N2 billion n in 2016, up from N700M in 2015. He added that increased productivity in the mining space had also led to significant discovery of mineral deposits, notably the large find of highgrade nickel a few months ago in Dangoma, Kaduna State, by an Australian mining company operating in Nigeria.

Fayemi, further revealed that government had constructed 10 Prototype Mineral Buying Centres across the country for specific strategic industrial minerals.

“The centres are to serve as standardisation centres to enable ASM cooperatives and operators receive fair premium for their labour. With renewed determination to strengthen collaborative efforts with state governments in natural resource governance, the PMBCs are being ceded to state governments,” he said.

Fayemi recalled that he had identified some challenges, including lack of geological data, weak institutional capacity and limited supporting infrastructure during his inaugural ministerial briefing on December 21, 2015.

Read more from the publisher: National Mirror

Copyright & credit exclusively reserved for the publisher, referenced above.
Nigeria Newspapers Online syndicates daily Nigerian news
and updates, sourced from major Nigerian newspaper houses online.
A member of DisNaija network: Everything Naija.

Like, Share, Comment and Tweet. Follow us on Twitter and Facebook.


Never miss important Updates. Get all the juicy news & entertainment updates delivered straight to your inbox, weekly. Enter your name & email below, & click the "sign up" button.

INTERVIEW: Nigeria is Dancing on the Cliff — Ex-U.S. Ambassador to Nigeria
Emmanuel’s Open-Door Policy’ll Hasten Implementation of Govt Policies —Aide