The Federal Government has issued a strong rebuttal to claims made by the Northern Elders Forum (NEF) regarding the location of a new gold refinery. The NEF had alleged that the government violated the federal character principle by siting a "national gold refinery" in Lagos.
Government Clarifies Refinery Ownership
In a statement released on Sunday, January 18, in Abuja, Mr. Segun Tomori, the Special Assistant to the Minister of Solid Minerals Development, Dr. Dele Alake, firmly dismissed the allegations. Tomori described the claims, which were contained in a statement signed by NEF's spokesperson, Professor Abubakar Jiddere, as misleading.
He categorically stated that the Minister never announced a government-owned or established refinery in Lagos or anywhere else. "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," Tomori explained.
Private Sector Initiative, Not Federal Project
Tomori clarified that the newly established facility is an initiative of Kian Smith, a fully privately-owned mining company. Its goal is to develop the local gold industry through innovative practices. He emphasized that the Federal Government does not compel private companies to choose specific locations for their operations.
"Each firm has its own operational and marketing strategy to ensure profitability," he added. The refinery is presented as a direct response to the government's value-addition policy, designed to discourage the export of raw minerals and boost local processing and manufacturing.
Evidence of Policy Success and Job Creation
According to the ministry's spokesperson, this policy is already yielding significant results across Nigeria. He cited several major private investments as proof:
- A $600 million lithium plant in Nasarawa State.
- A $400 million rare earth plant, also in Nasarawa State.
- A $200 million ASBA lithium plant in Abuja.
Tomori stated that these projects, including the Lagos gold refinery, are generating massive foreign capital inflows and creating thousands of jobs for Nigerians. He credited the Ministry's policy reforms over the past two years for creating an enabling environment for private sector growth in mining.
"The Ministry of Solid Minerals Development shall continue to encourage more mining companies to set up processing and manufacturing plants across the country," Tomori affirmed. He concluded by urging the Northern Elders Forum to support President Bola Ahmed Tinubu's efforts to build a stronger, self-reliant economy for all Nigerians.
