The largest lithium ore processing plant in Nigeria was officially unveiled in Lafia, Nasarawa State, with President Bola Tinubu expressing his admiration for the new facility. At a meeting held on May 10, 2024, in Abuja, he conveyed his sentiments to Governor Abdullahi Sule of Nasarawa State, Hi Yongwei, who serves as the chairman of Avatar New Energy Materials Company Limited, and Zhenhua Pei, chairman of Canmax Technologies. The Chinese company, Avatar, built a plant capable of producing 4,000 metric tonnes per day.
Canmax Technologies, a leader in battery material production, intends to invest $200 million in the new Lithium processing facility in Nasarawa State, showing their commitment to expanding their operations. He emphasized the importance of teamwork and looking out for one another in mining activities. The president highlighted Nigeria as a promising Investment hub in Africa, endorsing the companies’ growth and prosperity. He emphasized the country’s business-friendly environment and its readiness to welcome and support businesses. In Nigeria, there is great potential for the exploration of alternative uses for lithium, specifically in the Manufacturing of batteries.
Plans are underway to manufacture solar technologies within Nigeria.
Hence, the country is a significant market for solar panels, reflecting Africa’s increasing demand for solar technologies. It seems plausible that both Solar Panels and batteries could be locally produced in Nigeria. Labour in Nigeria is cost-effective due to the skilled and dynamic youth population. The country excels in adapting to new technology, leading to a thriving economy. Nigeria is a reliable nation with a high consumption capacity. The population is made up of talented individuals who are hard-working and innovative, ensuring a surplus of skilled workers.
When searching for valuable minerals, it is important to prioritize the well-being of the community and work together harmoniously. Avoid causing destruction and make sure to prioritize cooperation and community care throughout the exploration process. The president emphasized the potential for China and Nigeria to lead the way as the premier business destination in Africa. Plans are underway to manufacture solar technologies within Nigeria for widespread use across the continent, stated the president. Sule thanked the president for his backing in the development of solid minerals and highlighted the promising opportunities for lithium Mining by the recently established company in the area.
Alake focused on finding solutions for the dangers posed by deserted mines.
They were excited to announce the partnership with a successful company in Nasarawa that boasts a turnover of 500 million dollars. Their enthusiasm is palpable as they express their confidence in the region’s potential for lithium mining over the next 15 to 20 years, stated the governor. During a meeting, Minister Dele Alake focused on finding solutions for the dangers posed by deserted mines and emphasized the need for mining license seekers to prioritize increasing local value and promoting economic empowerment.
Furthermore, the Chinese executives reassured their commitment to upholding mining regulations and meeting their obligations to the local communities in Nigeria, recognizing the importance of their investments in the country. Nigeria’s Mineral mining industry contributes a mere 0.3% to its GDP, largely overshadowed by the dominance of its abundant oil reserves. This has resulted in an underdeveloped domestic mining sector, forcing the country to rely on imports for minerals like salt and iron ore, which it has the capacity to extract locally.
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Mineral resources in Nigeria are under the ownership rights of the Federal Government, who issues titles to companies allowing them to search for, extract, and Trade these valuable resources. Ever since the implementation of the Economic Diversification Agenda, the Nigerian Mining Industry has shown significant growth and improvement, moving away from its heavy reliance on oil. Lithium, a valuable metal essential for batteries, was unearthed in Nigeria in 2019. Despite an offer from Elon Musk to mine lithium in Nigeria in 2022, the country’s Minister of Mines and Steel Development, Olamilekan Adegbite, declined the proposal.