The Federal Government, through the Ministry of Solid Minerals Development, has announced a new regime of rates for the mining sector, adding that this will enhance ease of doing business and consolidate ongoing reforms.
Minister of Solid Minerals Development, Dr. Dele Alake, during a media briefing in Abuja yesterday, stated that the review underscored Federal Government’s commitment to increasing revenue from solid minerals to enhance service delivery and bolster mining’s contribution to economic development.
He stated that under the new regime, investors applying for a Mining Lease licence would pay N3 million, while Small Scale Mining Lease (SSML) applicants will pay N300,000 for the first two cadastral units.
He added that the cost to obtain an Exploration Licence (EL) was s N600,000 for the first 100 cadastral units, while a quarry lease now attracts N300,000, and reconnaissance permit is N300,000.
The minister said the new rates regime was with immediate effect. These were contained in statement by the Special Assistant on Media to the Minister, Segun Tomori.
Alake said the new regulations, introduced in consultation with industry stakeholders, aimed to discourage speculation and address the paucity of funds, limiting Federal Government’s capacity to improve ease of doing business in the sector.
He added that the new rates, which affect 268 items in the industry, included an annual service fee of N31,500 for the first time, N260,000 for a Small Scale Mining License (SSML), N500,000 for a quarry Lease, and N1,250,000 for firms operating with a Mining Lease.