AFNIS 2025: Nigeria Seeks Regional Control of Natural Resources, Energy

Folalumi Alaran in Abuja

The Minister of Solid Minerals Development, Dele Alake, has called on African countries to take full ownership of their natural resources through local processing, value addition, and regional energy integration.

Speaking yesterday at the opening of the 4th African Natural Resource and Energy Investment Summit (AFNIS) in Abuja, Alake said the continent must end the export of raw materials and shift focus to domestic industrialization.

“Africa has been a supplier of raw materials for too long. In doing so, we have forfeited jobs, industrial growth, and economic sovereignty. That must end,” he said.

The minister disclosed that Nigeria’s mining revenue rose from N6 billion in 2023 to N38 billion in 2024, attributing the increase to reforms introduced under the current administration which include stricter licensing conditions, mandatory local processing, and formalisation of artisanal mining operations.

He noted that in the first quarter of 2025, the Mining Cadastral Office processed 955 applications and approved 867 new licences, generating N6.95 billion in fees.

“These included 512 exploration titles, 295 small-scale leases, 60 quarry leases, and five large-scale mining leases.

“Nigeria commissioned its first domestic lithium battery processing plant in Nasarawa State in May 2024. The $100 million facility has a capacity of 4,000 tons per day and is expected to create 4,000 jobs. Additional lithium plants worth $600 million and $200 million are underway in Kaduna and Abuja respectively.

“By law, no mining licence is issued today without a plan for local processing. We are no longer exporting jobs; we are creating them,” he said.

On regional efforts, the minister said African mining ministers have adopted the African Mineral and Energy Resources Classification and Management System (AMREC) and the Pan-African Resources Reporting Code (PARC).

The frameworks will standardise mineral reporting across the continent and improve investor confidence.

“We will issue regulations to compel compliance and engage the National Assembly to include the framework in Nigeria’s mining laws.

“Nigeria is implementing energy transition plans that do not compromise industrial growth. The Presidential Compressed Natural Gas (CNG) Initiative, has led to the conversion of 2,500 vehicles and attracted over $400 million in investment.

“Africa’s electricity generation is projected to reach 866.8 billion kilowatt-hours in 2025, with natural gas accounting for over 40 per cent of supply.

“Our energy transition must not come at the cost of industrialisation or inclusive growth. For Africa, this means powering farms and factories, not shutting them down,” he said.

He added that Nigeria is also expanding its regional electricity integration through the Nigeria-Benin interconnector and a planned grid link with Cameroon.

The projects are part of efforts to stabilise power supply and enhance trade across West and Central Africa.

And to support small-scale miners and attract foreign investment, Nigeria has launched the Solid Minerals Development Fund and is establishing the Nigerian Solid Minerals Company as a special-purpose vehicle to manage large-scale investments.

The minister urged African financial institutions to invest in the continent’s extractive sectors, announcing the creation of the Africans for Africa Fund under the AFNIS platform.

“We are not looking for charity. We welcome transparent partnerships built on mutual respect,” he said.

The Minister of Power, Adebayo Adelabu, elaborated his reaffirmed commitment to strengthening local content, improving sectoral efficiency, and accelerating power sector reforms to meet the country’s growing electricity demand.

Speaking on the summit’s theme, “Harnessing Local Content for Sustainable Development,” Adelabu said Nigeria is prioritising local participation across the electricity value chain – ranging from metering and manufacturing to system operations and grid management.

He said: “We are working to ensure that local content becomes a measurable lever for economic growth, industrial capacity, and energy security.

“The current administration, implemented the Electricity Act 2023, which has decentralized electricity governance and allowed 11 states to take control of their local electricity markets.

“Also, the tariff reforms increased market revenue by 70 per cent, from ₦1 trillion in 2023 to ₦1.7 trillion in 2024, while reducing government-subsidized tariff shortfalls from ₦3 trillion to ₦1.9 trillion.

“The Energizing Education Programme delivering 100MW to universities, the $750 million DARES electrification project targeting 17.5 million Nigerians, and the commissioning of new meter test stations in Kano and Benin.”

He added that workforce development is central to reform implementation, with NAPTIN and the Rural Electrification Agency training over 130 participants in mini-grid development and operations across all geopolitical zones.”