Abuja, November 13, 2018. The solid minerals sector contributed a total sum of N43.22billion to government coffers in 2016, reports the Nigeria Extractive Industries Transparency Initiative (NEITI).

A breakdown of the figure shows that taxes collected by the Federal Inland Revenue Service (FIRS) accounted for N40.38 billion or 93.43%, while fees collected by the Mining Cadastral Office stood at N1.15 billion or 2.66%.

The Mining Inspectorate Department (MID) recorded N1.64 billion as royalty payments, an increase of 30.15% over the N1.27 billion reported as royalty payments in 2015.

These are some of the highlights of the 2016 audit report of the solid minerals sector released today by NEITI.

The audit conducted under the EITI principles and standard reconciled payments made by mining companies in terms of taxes, royalty and rents against receipts of such payments by relevant government agencies.

From the report, total minerals production for 2016 was 41.87 million tons valued at N34.09 billion, representing 33% increase on the N25.56 billion reported in 2015.

However, tax collection and payment of other fees for 2016 reduced by 32% when compared to the figure of N63.98 billion for 2015.

The report further disclosed that while six hundred and fifty-one (651) extractive companies made royalty payments in 2016, only fifty six (56) companies that met the materiality threshold of N3million and above were considered for reconciliation. The companies that met this threshold accounted for 86.87% of the total royalties paid.

On state-by-state minerals production, Ogun State contributed 33.49% to the total production to top the table, followed by Kogi State with a contribution of 19.7%, while FCT came third with 6.20%.

From the report, minerals production by companies shows that three companies - Dangote Cement Plc, West African Portland Cement Plc, and United Cement Company of Nigeria Limited (UNICEM) contributed 70% of total production in 2016. This shows that the cement sub-sector is still dominant in solid minerals production activities.

Further analysis of production by minerals types shows that limestone was the most produced mineral and accounted for 49.35% of the total solid minerals production in 2016, followed by granite with 31.32%. The least contributions were made by gypsum, iron, talc and amethyst with 0.1% each.

The report also revealed that the solid minerals sector’s contribution to exports in 2016 stood at ₦11.16 billion, representing 3.38% of the N330.01 billion for non-oil exports and 0.13% of total export of ₦8.53trillion.

From the report, China was a major destination of Nigeria’s solid minerals in 2016, accounting for53.63%, followed by Spain and India which accounted for 26.48% and 8.90% respectively.

The report put the Free on Board (FOB) value of the solid minerals exported in 2016 at $40.934 million while the overall contribution of the sector to the country’s GDP was put at ₦87.61billion representing 0.13 % of the total GDP of N67.9 trillion.

The sector has witnessed a steady, even if marginal increase in its contribution to the GDP from 0.11% in 2014, 0.12% in 2015 to 0.13% in 2016. The sector also contributed 0.3% to national employment in 2016.

The report also disclosed that a total of 4,575 valid minerals titles spread across the various states of the federation were recorded in 2016. This comprises 1,751 Exploration Licenses, 208 Mining Leases, 1,563 Quarry Leases, and 1,053 Small Scale Mining Leases.

Out of the total valid titles in the MCO register, 1,465 titles were issued in 2016 while 1,030 were revoked and 14 were transferred. The report further stated that 315 Exploration Licenses were issued in respect of the priority minerals identified by government. The priority minerals are gold, lead-zinc, baryte, iron-ore, bitumen, limestone, and coal.

The report revealed that some title holders entered into MOUs with other companies without duly informing the relevant government agencies. As a result, out of the 651 operators that paid royalties, 312 companies representing 48% were not recorded in the MCO register either as valid, revoked or transferred titles for the year.

A striking feature of the report was that the sum of₦9.923 billion was shared by the three tiers of government in 2016, being the accumulated revenues from 2007 to 2014 from the solid minerals sector.

A breakdown of the figure shows that the Federal Government got N4.547 billion while states and local governments shared N2.306 billion and N1.778 billion respectively. The sum of N1.289 billion was also shared as derivation.

Further breakdown shows that Ogun State received the highest share of N369.84 million while Kogi and Cross River states received N317.66 million and N237.10 million respectively.

Other states among the top five recipients are Kano and Oyo states which received N208.83 million and 200.45 million respectively while Ekiti and Bayelsa got the lowest share of N91.25 million and N76.66 respectively.

The release of the 2016 report by NEITI brings to seven in the series of independent reports on the solid minerals sector published as part of efforts to ensure transparency as well as bring local and international attention to the revenues and investment potentials in the solid minerals sector.

The 2016 Solid minerals audit was conducted for NEITI by Tajudeen Badejo & Co, an indigenous accounting and auditing firm.

The independent audit is consistent with NEITI’s mandate and in fulfillment of Nigeria’s obligation to the global Extractive Industries Transparency Initiative (EITI) as an implementing country.

The NEITI 2016 oil and gas report is currently at the final stage of completion and will be released soon, while the 2017 audit process is ongoing.

Details of the 2016 solid minerals report with findings and recommendations are available on NEITI websitewww.neiti.gov.ng.

Dr. Orji Ogbonnaya Orji.

Director, Communications and Advocacy.

Source: http://www.neiti.gov.ng/index.php/media-center/news/450-neiti-solid-minerals-contributed-n43-2billion-to-government-revenue-in-2016-as-fg-states-lgs-shared-n9-9-billion

Propaganda.

Further breakdown shows that Ogun State received the highest share of N369.84 million while Kogi and Cross River states received N317.66 million and N237.10 million respectively.

I've been seeing alot if ignorant people asking if solid mineral revenue is shared. The answer is yes but its negligible. The figures here also wouknt include state query taxes. Fact is mining sector is small percentage of economy. Illegal mining big issue all over the country. The country loses billions and there's safety risk.

Where to get mining data:
NBS
NEITI
Ministry Mines and Steel

Nigeria is a country where money will be made and shared by the lawmakers. Looters everywhere.
Billions will be announced, but trillions shared.

I'm not proud to be a Nigeria.

Nigeria is a virus.

DonMarkuzi:
Propaganda.

For Zamfara illegal gold mines
Propaganda is APC specialty.

Blue3k2:
I've been seeing alot if ignorant people asking if solid mineral revenue is shared. The answer is yes but its negligible. The figures here also wouknt include state query taxes. Fact is mining sector is small percentage of economy. Illegal mining big issue all over the country. The country loses billions and there's safety risk.

Where to get mining data:
NBS
NEITI
Ministry Mines and Steel

Which is the purpose of this propaganda- to minimise the big issues of illegal mining in the wake of Zamfara killings

I am here to see worshippers worshipping

Only 8 comments

Nothing was said about zamfara
Crude oil belongs to Nigeria
Gold in zamfara belongs to the north

ikorodureporta:
Only 8 comments

how many comments u dey expect laaro kutukutu?

Where is the benefit of all this resources on the masses? I tell you all, Nigerian leaders ,the fire of hell will be your judgement

tiredoflife:
Nothing was said about zamfara
Crude oil belongs to Nigeria
Gold in zamfara belongs to the north

It is terrible.
Indeed, there was a country.
But now, there is no country.
There is no country called Nigeria. There is only a geographical area to be exploited by those who feel that they are born to rule ruin others.

seguno2:


It is terrible.
Indeed, there was a country.
But now, there is no country.
There is no country called Nigeria. There is only a geographical area to be exploited by those who feel that they are born to rule ruin others.

I will say this
The last of the generals holding Nigeria together are dying
After they are gone.
Nigeria will reset
The informed south will reset Nigeria or break it

That's small oh. So all the illegal minings we have hearing about hasn't been curtailed under Buhari too.
Buhari is just there to try and take more of ND oil and not to diversify the economy.

tiredoflife:


I will say this
The last of the generals holding Nigeria together are dying
After they are gone.
Nigeria will reset
The informed south will reset Nigeria or break it

The Arny of disoriented youths nko?

Then why are we borrowing? Why is our dbt profile rising so high?

Blue3k2:


I've been seeing alot if ignorant people asking if solid mineral revenue is shared. The answer is yes but its negligible. The figures here also wouknt include state query taxes. Fact is mining sector is small percentage of economy. Illegal mining big issue all over the country. The country loses billions and there's safety risk.

Where to get mining data:
NBS
NEITI
Ministry Mines and Steel

Shut your mouth up and seize promoting falsehood. This useless report you're defending is a propaganda to cover up the illegal mining of gold going on in zamfara state which got busted and we started crying out.

Fat lie

I don't believe this.

CodeTemplar:
The Arny of disoriented youths nko?

They will be put in place
Just wait till the last of these generals die off
Nigeria will be reset
Either by civil war or by peaceful cohabitation based on a new constitution or separation
One of these will do the reset

We are in 2019 and some people are brandishing 2016 data in defense of looting via solid minerals mining.

Cement constitutes 70% of the revenue. So N30.2bn of this meager annual returns declared actually came from cement. So na only N3bn other solid minerals contribute to Nigeria’s sharing formula?

Even 1/3 of solid mineral revenue come from southwest.

No “joint venture mining in Nigeria”.

No “all solid minerals belong to federal government”.

Anyway, let the stealth miners continue to enjoy their banditry

seguno2:

For Zamfara illegal gold mines
Propaganda is APC specialty.

and the emerald and sapphire mines In Gombe and the likes. SAme thoughts on my mind!

seguno2:


Which is the purpose of this propaganda- to minimise the big issues of illegal mining in the wake of Zamfara killings

degamemaster:



Shut your mouth up and seize promoting falsehood. This useless report you're defending is a propaganda to cover up the illegal mining of gold going on in zamfara state which got busted and we started crying out.

You clowns are just mad the facts dont align with world view. You hypocrites ignore illegal mining in your backyard. You guys cant even attempt challenge facts listed their. If the report is a lie why hasnt any governor, political commentator or reportor challenged it? I dont why ignorant people like you guys pontificate on topic you know nothing about.

NaijaFutbol:
We are in 2019 and some people are brandishing 2016 data in defense of looting via solid minerals mining.

2016 is latest report. Where did I defend illegal miners. You guys must have a reading disability.

Niger State is the leading destination for illegal mining of solid minerals in Nigeria, the Nigeria Extractive Industries Transparency Initiative announced on Thursday.

NEITI further stated that five other states including Plateau, Ebonyi, Imo, Enugu and Zamfara were among the leading destinations for illegal mining activities across the country.

Blue3k2:
2016 is latest report. Where you did I defend illegal miners. You guys must have a reading disability.

2016 is the latest report and we are in April 2019 yet you have mouth to talk and defend the looting and theft cover up
At least try to have a little bit of shame. Please.

seguno2:


2016 is the latest report and we are in April 2019 yet you have mouth to talk and defend the looting and theft cover up
At least try to have a little bit of shame. Please.

You must have a reading disability as well. Where did I defend looting? I know its you culture to lie but try not to act mentally challenged for 5 minutes. Dispute the facts presented instead of whining. The report was posted in 2018. They're simply behind on audit reports.

Lol clown please explain your silence on illegal mining in your backyard. You hypocrites are transparent.

NEITI further stated that five other states including Plateau, Ebonyi, Imo, Enugu and Zamfara were among the leading destinations for illegal mining activities across the country.

Women and children working in a lead mine in Enyingba


Children taking turns to fetch stones out of the pit


https://www.youtube.com/watch?v=aqinVkxxg4Q


https://www.youtube.com/watch?v=Ap4zkZiGqD4

Blue3k2:
The report was posted in 2018. They're simply behind on audit reports.

Simply behind on transparency and pretending to fight corruption
Who believes that kind of story?

seguno2:


Simply behind on transparency and pretending to fight corruption
Who believes that kind of story?

Lol who cares what you believe. Prove any fact listed wrong. You ignorant ignorant clowns are just hypocrites pontificating on topics you dont know anything about.

There's a reason you ignore Illegal mining in backyard then refuse argue facts and figures. You guys are a funny bunch.

Blue3k2:




2016 is latest report. Where you did I defend illegal miners. You guys must have a reading disability.

Thanks for showing off your writing disability

Clap for your NEITI that as at Q2 of 2019, it has 2016 report as its latest. Quotarideen!