Nigeria earned N69.2bn from solid minerals in 2015 – NEITI

Nigeria earned N69.2 billion from the solid minerals sector in 2015, an increase of 24 per cent on the N55.8 billion earned from the sector in 2014, the Nigeria Extractive Industries Transparency Initiative (NEITI) said yesterday.

NEITI in its latest independent audit report released on Sunday disclosed that the total production of solid minerals in the country stood at 39.27m tonnes.

This, according to the audit, represents a reduction of 17 per cent from the 47.1m tonnes produced in 2014.

The drop in 2015’s production was attributed to insecurity in parts of the country and the more stringent approval process for explosives used in mining.

However, while mineral production reduced, government revenues went up in the same year.

“This increase in revenue was due to the growth in taxes collected from the sector and review of royalty rates paid by companies which came into effect within the year under review,” the report stated.

Lead and zinc topped the chart with 79 per cent valued at $7.7m, while 175 ounces of gold valued -at only $122,000 were exported during the period.

According to the report, cement manufacturing companies were the major revenue contributors to the sector, accounting for over 60 per cent, while construction companies and real mining companies contributed about 31 per cent and eight per cent respectively.

“For instance, three states: Ogun, Kogi and Cross River, and the FCT accounted for about 70 per cent of the production volumes in 2015. However, Ogun State topped the table with 36 per cent”.

 

Credits/Sources: www.dailytrustng.com