The Federal Ministry of Solid Minerals Development has rejected claims by the Northern Elders Forum (NEF) that the Federal Government intends to establish a gold refinery in Lagos, describing the allegation as inaccurate and misleading.
The NEF had alleged that the purported plan violated the federal character principle and suggested direct government involvement. However, in a statement issued in Abuja, the Special Assistant on Media to the Minister of Solid Minerals Development, Segun Tomori, clarified that the Federal Government neither owns nor established any gold refinery in Lagos.
Tomori explained that the Minister of Solid Minerals Development, Dr. Dele Alake, never announced the creation of a government-owned gold refinery in Lagos or any other part of the country. According to him, the refinery referenced by the NEF is a private-sector project developed by Kian Smith, a privately owned mining company.
He emphasized that the government has no authority to determine where a private investor chooses to locate its business and stressed that the project does not involve federal ownership or control. Tomori further noted that the minister had previously stated that multiple gold refineries are being developed across Nigeria, all driven by private investors.
Addressing broader concerns, Tomori said the Lagos-based refinery aligns with the Federal Government’s value-addition policy in the solid minerals sector, which seeks to reduce the export of raw minerals and encourage local processing and manufacturing.
He praised the leadership of Kian Smith, led by its founder and Managing Director, Nere Emiko, describing the refinery as a notable example of private-sector resilience and enterprise supported by recent reforms in the mining sector.
The ministry also pointed to other large-scale private investments encouraged by these reforms, including a $600 million lithium processing facility in Nasarawa State, a $400 million rare earth minerals plant also in Nasarawa, and a $200 million lithium project in Abuja. According to the ministry, these investments have generated employment opportunities, attracted foreign capital, and strengthened Nigeria’s non-oil revenue streams.
Tomori stated that reforms implemented over the past two years have created a more attractive environment for mining investors, with projects like the Lagos gold refinery serving as evidence of progress.
He urged the Northern Elders Forum to support the Federal Government’s economic diversification agenda under President Bola Ahmed Tinubu, emphasizing the importance of collaboration in building a self-reliant and inclusive economy.
The ministry reaffirmed its commitment to encouraging mining companies to establish processing and manufacturing facilities across the country in the interest of national development.
