The Federal Government, yesterday, revoked 1,633 mineral titles over unpaid annual fees, the Minister of Solid Minerals Development, Dele Alake, revealed at a press briefing in Abuja.
The minister noted that the Nigerian Minerals and Mining Act (NMMA) 2007, requires operators to pay an annual service fee at a fixed rate but some firms do not comply with the law.
He explained that the amount required annually is as low as N1,500 for cadastral units not more than 200 units, adding that the firms are making huge profits from mining sites but refuse to make necessary payments to the government.
In a statement by his media aide, Segun Tomori, the minister quoting sections 11 and 12 of the Mining Act, said the law stipulates that whenever a payment default occurred, the Mining Cadastre Office (MCO), in charge of mineral titles in the country, should give a 30-day notice to the defaulting party.
He said after the expiration of the notice, such a licence becomes subject to revocation, adding that about 2,213 titles were granted such notices.
However, only 580 titleholders responded and paid their annual fees.
The mandatory 30 days expired on November 10, 2023. Only 580 titleholders responded by settling their indebtedness. With this development, the MCO recommended the revocation of 1,633 mineral titles.
Alake was quoted as saying: “In compliance with the law, the MCO on October 4, 2023, began the process of revoking 2,213 titles.
“These included 795 Exploration titles, 956 Small Scale Mining Licences, 364 Quarry licences and 98 Mining Leases. These were published in the Federal Government Gazette Number 178, Volume 110 of October 10, 2023, with the notice of revocation for defaulting in the payment of the Annual Service Fee.
“The mandatory 30 days expired on November 10, 2023. Only 580 titleholders responded by settling their indebtedness.
“With this development, the MCO recommended the revocation of 1,633 mineral titles as follows: Exploration Licence, 536; Quarry Licence, 279; Small Scale Mining Licence, 787 and Mining Lease, 31.
“In line with the powers conferred on me by the NMMA 2007, Section 5 (a), I have approved the revocation of the 1,633 titles.”
He also ordered those whose licences have been revoked to immediately vacate the mining sites to avoid being apprehended by security agencies.
He said defaulters in the payment of royalties, taxes and others will be sanctioned, warning that licence revocation is an ongoing exercise.
Regarding the issue of illegal miners, Alake assured that culprits would be brought to book, adding that security challenges are also being tackled, as the government plans to establish a mine police.