Nigerian Government Did Not Approve Gold Refinery in Lagos – Solid Minerals Ministry Clarifies

The Federal Ministry of Solid Minerals Development has rejected recent claims by the Northern Elders Forum (NEF) alleging that the Federal Government intends to locate a gold refinery in Lagos State.

The ministry described the allegation as inaccurate and misleading, clarifying that no such decision has been taken or announced by the Federal Government.

Earlier, the NEF, through a statement signed by its spokesperson, Professor Abubakar Jiddere, had argued that positioning a gold refinery in Lagos would contradict the federal character principle. The group suggested that such a move would be unfair in the distribution of national resources and infrastructure.

However, responding to the claim in a statement issued in Abuja on Sunday, the Special Assistant on Media to the Minister of Solid Minerals Development, Dr. Dele Alake, Mr. Segun Tomori, firmly denied the assertion. He emphasized that the minister never made any declaration indicating that the Federal Government planned to establish or owned a gold refinery in Lagos or in any other part of the country.

According to Tomori, there has been no official government announcement approving or siting a federally owned gold refinery anywhere in Nigeria. He stressed that the claims attributed to the minister were false and did not reflect the ministry’s position.

He further clarified that the gold refinery being referenced is not a government project. Instead, it is a completely private initiative undertaken by Kian Smith, a privately owned mining company. Tomori explained that the Ministry of Solid Minerals Development does not possess the authority to decide where private investors should locate their businesses.

Tomori stated that Dr. Dele Alake was explicit, precise, and unambiguous when he spoke about the planned inauguration of the refinery. During that announcement, the minister made it clear that several gold refineries are being developed across different parts of the country, all of which are privately owned by various companies.

He explained that the Lagos-based refinery is a private venture by Kian Smith, established to strengthen Nigeria’s local gold sector by adopting modern and innovative processing techniques. The refinery is aimed at supporting domestic gold production and improving industry standards through advanced operations.

Tomori also pointed out that private investors independently determine where to site their projects, guided by operational efficiency, logistics, infrastructure availability, and market factors. He noted that the Federal Government does not compel private firms to establish facilities in any specific location.

In addition, the ministry praised the commitment, resilience, and leadership of the company’s founder and Managing Director, Ms. Nere Emiko. According to Tomori, the successful completion of the refinery followed several years of persistence, strategic planning, and entrepreneurial effort.

He explained that the refinery aligns with the Federal Government’s value-addition policy within the solid minerals sector. This policy is designed to discourage the export of unprocessed minerals and promote local refining, processing, and manufacturing within Nigeria.

Tomori noted that the implementation of this policy has already encouraged the development of multiple mineral processing facilities across the country. These projects have attracted substantial foreign investment and contributed to job creation for thousands of Nigerians.

He cited several existing projects as examples, including a $600 million lithium processing plant in Nasarawa State, a $400 million rare earth minerals processing facility also located in Nasarawa, and the $200 million ASBA lithium plant in Abuja.

Furthermore, Tomori stated that consistent policy reforms introduced by the Ministry of Solid Minerals Development over the past two years have significantly improved the operating environment for private sector involvement in the mining industry. According to him, these reforms have played a key role in boosting investor confidence.

He added that projects such as the Lagos gold refinery illustrate the tangible outcomes of these reforms and demonstrate the growing participation of private investors in Nigeria’s solid minerals value chain.

Tomori reaffirmed that the ministry remains committed to encouraging mining companies to establish processing and manufacturing facilities across all parts of the country, in line with national economic objectives.

He concluded by urging the Northern Elders Forum to reconsider its stance and support the efforts of President Bola Ahmed Tinubu toward building a more resilient, self-reliant economy that prioritizes the collective interests of Nigerians.