Nigeria and Saudi Arabia have commenced discussions aimed at advancing the extraction of iron ore and its processing into steel.
Kehinde Bamigbetan, Special Adviser to the Minister of Solid Minerals Development, Dr. Dele Alake, disclosed in a statement that this collaboration was initiated during a meeting at the recently concluded Resourcing Tomorrow event, held as part of the annual Mines and Money expo in Islington, London, UK.
The statement revealed that Dr. Alake met with Engr. Khalid bin Saleh Al-Mudaifer, Saudi Arabia’s Deputy Minister of Minerals and Energy, to explore a partnership for iron ore extraction and steel production in Nigeria. While Saudi Arabia currently imports iron ore from African countries to sustain its thriving steel industry, Dr. Alake emphasized the benefits of processing the ore locally in Nigeria to boost value-added exports and secure better global prices.
Engr. Al-Mudaifer expressed Saudi Arabia’s interest in sourcing iron ore from Nigeria and assured consideration of the country’s proposal to localize the downstream value chain. A follow-up meeting is scheduled for January 2025 in Riyadh during the Future Metals Forum.
Dr. Alake also met with other potential investors, including representatives from tin manufacturers Woodcross and Gerald Group, fund managers AMG, and Business Idea Development from China. These engagements aimed to attract investment into Nigeria’s solid minerals sector.
Woodcross representatives, Mehdi Ali and Hassan Dhanji, shared results of a preliminary survey in Jos, revealing significant tin ore deposits capable of meeting global demands. The company committed to making an investment decision by February 2025. In response, Dr. Alake set up a Ministerial Committee to ensure the project aligns with agreed timelines and provide weekly updates.
The Gerald Group, represented by Brendan Lynch and Anya Sarin, also indicated interest in a joint venture in Nigeria’s tin sector. Dr. Alake encouraged swift action, highlighting the Tinubu administration’s plans to establish the Nigerian Solid Minerals Corporation as a reliable partner. A Ministerial Committee was tasked with expediting the project’s execution.
Dr. Alake held discussions with Ajay Commem, Director of AMG Group, and Young Chan, Managing Director of Business Idea Management Centre, China, on funding opportunities for Nigeria’s mining projects. Commem expressed interest in sourcing global capital for the proposed Nigerian Solid Minerals Corporation, while Chan offered to connect the sector with Chinese investors. The Minister directed the Solid Minerals Development Fund to collaborate with both organizations to secure additional funding.
During discussions with over 30 mining entrepreneurs, Dr. Alake reviewed a proposal for establishing the African Extractive Minerals Bank to provide exploration funding across the continent. As Chairman of the Africa Minerals Strategy Group (AMSG), he pledged to present the initiative at the group’s next meeting in Riyadh.
