The Federal Government has outlawed the export of unprocessed gold, diamonds, and other mineral reserves through a recently enacted policy.
Group Managing Director, Niger Delta Exploration and Production PLC, Mr. Adegbite Falade said that the “Down Stream Mineral Policy” was authorized in order to avoid the errors committed in the oil and gas industry.
He claimed that the right conditions had been put in place so that stakeholders in the mining and steel industries could add value to mineral reserves before exporting them. If you mine something but can’t process it yourself, you may sell it to Nigerian processors, he said.
“These processors could either completely purchase it from you, process it for resale, or process it for you and return it. This is the current strategy in Nigeria since we do not want to lose riches or jobs,wealth to other countries.”
He said the approval of the policy by the Federal Executive Council was a milestone for the sector, saying it would go a long way in repositioning the sector.
While citing the numerous benefits of a mineral deposit called kaolin, the minister said the deposit, which abound in Bauchi State was being used by the pharmaceutical industry.
He said “people in pharmaceutical, plastic, cosmetics and paint industry use kaolin”.
Adegbite said as a fallout of the policy, government had set up demonstration policy centres in Bauchi and other places.
According to him, the plant in Bauchi cannot meet local demand but a demonstration that it is possible. He called on foreign and local investors who do not want to invest in mining to invest in processing.
