Nigeria, US agree to increase mining investment

Nigeria and the US have agreed to "deepen" American investment in the West African country's mining sector.

The deal was signed on the sidelines of the UN General Assembly in New York City, Nigeria's Minister for Solid Minerals Dele Alake announced on Thursday.

"This is an important step in strengthening Nigeria-US cooperation around our mineral resources, valued at about $700 billion (€796 billion)," Alake said.

"The framework covers geological data and exploration, mineral development and processing, infrastructure, and technical capacity,"he added.

'We want more local processing'

Although known for its vast oil reserves, Nigeria is also home to deposits of lithium, gold, tin, gemstones, iron ore and phosphate.

Lithium, in particular, is in high demand globally as an essential component in the batteries are powering the green energy transition.

Alake said the agreement, which was signed on Wednesday, would be used to identify viable projects. He hinted that local jobs could be created by onshoring the refining of minerals, which until now have largely been exported as ore.

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"Nigeria cannot remain a source of raw materials while others capture most of the value," Alake said. "We want more local processing, quality jobs, stronger skills and greater opportunities for Nigerian businesses."

However, these goals come as Nigeria's mining sector remains mired by safety concerns and environmental concerns.

Edited by: Dmytro Hubenko

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