FG denies establishing gold refinery in Lagos

The Federal Ministry of Solid Minerals Development has dismissed claims by the Northern Elders Forum (NEF) that the federal government established a gold refinery in Lagos in violation of the federal character principle.

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It said the allegations contained in a statement signed by the Northern Elders Forum (NEF) spokesperson, Abubakar Jiddere, were not true and misleading.

In a statement on Sunday in Abuja, Segun Tomori, the special assistant to the Minister of Solid Minerals Development, Dele Alake, said the minister had not made any such announcement.

“There was nowhere in the Minister of Solid Minerals announcement that the Federal Government owned or established a gold refinery in Lagos or anywhere, for that matter.

“Dr Dele Alake was very clear, concise and emphatic in the announcement of the proposed inauguration of the refinery, that other gold refineries are in the works across the country and all privately-owned by different companies,” he said.

Mr Tomori said the newly established gold refinery was an initiative of Kian Smith, a fully privately-owned mining company, aimed at developing the local gold industry through innovative practices.

He explained that the federal government does not compel private companies to locate their operations in any particular part of the federation, as each firm has its own operational and marketing strategy to ensure profitability.

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He said the federal government acknowledged the doggedness of the company’s founder and Managing Director, Nere Emiko, for delivering a flagship project after years of perseverance, enterprise and leadership.

According to him, the refinery reflects the solid minerals sector’s response to the value-addition policy introduced to discourage the export of raw minerals and to promote local processing and manufacturing.

Mr Tomori said the policy had stimulated the conversion of raw mineral exports into processing factories across the country, generating massive inflows of foreign capital and providing thousands of jobs for Nigerians.

He said this included the $600 million lithium plant in Nasarawa State, the $400 million rare earth plant also in Nasarawa State and the $200 million ASBA lithium plant in Abuja.

Mr Tomori said the Ministry of Solid Minerals Development, through its policy reforms, had been creating an enabling environment for the private sector to thrive and flourish in the mining sector over the past two years.

He said the Lagos gold refinery and similar projects were clear evidence of the effectiveness of reforms in the solid minerals sector.

“The Ministry of Solid Minerals Development shall continue to encourage more mining companies to set up processing and manufacturing plants across the country.

“We urge NEF to turn a new leaf and join the efforts of President Bola Ahmed Tinubu, to build a stronger, self-reliant economy that meets the needs of the Nigerian people,” he said.

(NAN)