**Date:** September 4, 2023
*Abuja, Nigeria:*
The Nigeria Extractive Industries Transparency Initiative (NEITI) has unveiled its 2021 Solid Minerals Industry Report, revealing that Nigeria’s solid minerals sector earned N197.14 billion in revenue for the year. This figure represents a significant increase compared to the 2020 revenue of N116.82 billion.
NEITI’s report covers actual payments made by 1,214 companies operating in the solid minerals sector and receipts from three key government agencies. It provides insights into mineral production, utilization, and exports while reconciling physical and financial transactions.
Key findings from the report include:
1. **Revenue Growth:** The sector’s revenue in 2021 saw a growth of N60.32 billion or 51.89% compared to 2020, reflecting a positive trend over the past five years.
2. **Revenue Breakdown:** The Federal Inland Revenue Service collected N169.52 billion, the Mining Cadastre Office generated N4.3 billion, and the Mining Inspectorate Department generated N3.62 billion.
3. **Production Highlights:** The total volume of solid minerals used or sold in 2021 was 76.28 million tons, resulting in a royalty payment of N3.57 billion. Granite, limestone, laterite, clay, and sand were among the minerals with the largest production volumes.
4. **Top Producers:** Dangote Plc was the leading producer with 28.8 million tons, followed by Bua and Lafarge with 8.4 and 4.3 million tons, respectively. Ogun State recorded the highest production at 17.5 million tons.
5. **Exports:** Nigeria exported 142.54 million tons of minerals in 2021, with a Free on Board value of US$101.29 million. China was the primary destination, accounting for 97% of exports by volume and 88% by value.
6. **Economic Contribution:** The solid minerals sector contributed 0.63% to Nigeria’s Gross Domestic Product (GDP) in 2021, representing an improvement compared to previous years.
7. **Outstanding Liabilities:** NEITI identified N1.06 billion as outstanding company liabilities to the government due to the failure of some companies to pay their annual service fees for mineral titles.
While the sector’s revenue has shown growth, NEITI noted that its contribution to the economy remains below its full potential. The report provides valuable insights into Nigeria’s solid minerals sector, which plays a crucial role in the country’s economic diversification efforts.
*Please note that all figures are reported in Nigerian Naira (N) and US Dollars (US$).*
