The Federal Ministry of Solid Minerals Development has rejected claims by the Northern Elders Forum (NEF) that the Federal Government violated the federal character principle by siting a gold refinery in Lagos.
The ministry described the allegation as false and misleading, saying it was based on a misrepresentation of comments made by the Minister of Solid Minerals Development, Dr. Dele Alake.
In a statement issued on Sunday in Abuja, the minister’s Special Assistant, Mr. Segun Tomori, said the Federal Government neither owns nor established a gold refinery in Lagos or anywhere else in the country.
According to him, Dr. Alake never announced that the Federal Government had sited a gold refinery in Lagos. He explained that the minister was clear that the refinery recently unveiled is privately owned and that several other privately owned refineries are being developed across different parts of Nigeria.
Tomori clarified that the Lagos gold refinery is a project of Kian Smith, a fully private mining company, established to strengthen Nigeria’s local gold value chain through innovation and modern processing techniques.
He added that the Federal Government does not direct private investors on where to locate their businesses, noting that such decisions are driven by operational efficiency, market access and profitability considerations.
The ministry also commended the company’s founder and Managing Director, Ms. Nere Emiko, for her resilience and leadership in delivering the project after years of persistence and investment.
Tomori explained that the refinery aligns with the Federal Government’s value-addition policy in the solid minerals sector, which aims to discourage the export of raw minerals and promote local processing and manufacturing.
He said the policy has already attracted significant private investment, citing major projects such as the 600 million dollar lithium plant in Nasarawa State, the 400 million dollar rare earth plant also in Nasarawa, and the 200 million dollar ASBA lithium plant in Abuja.
According to him, these investments have created thousands of jobs and boosted foreign capital inflows into the Nigerian economy.
Tomori stressed that ongoing reforms by the Ministry of Solid Minerals Development have created a more supportive environment for private sector participation in mining over the past two years.
He said projects like the Lagos gold refinery are clear evidence that the reforms are yielding results and transforming the solid minerals sector.
The ministry reaffirmed its commitment to encouraging more private investors to establish processing and manufacturing plants across the country, adding that such projects are critical to building a self-reliant economy.
Tomori urged the Northern Elders Forum to support the Federal Government’s reform agenda and work with President Bola Ahmed Tinubu’s administration in strengthening Nigeria’s economy for the benefit of all citizens.
