iron ore to remain above $150pt in medium term, page-26

Dubai investors eye Nigerian solid minerals sector
By Sunday Ojeme, Abuja
Thursday, 11 Aug 2011


The campaign by the Federal Government to attract foreign investors into the country?s solid minerals sector has continued to yield results as more investors are looking at the possibility of investing in developing one or two of the available minerals.


In the last one year since President Goodluck Jonathan came into office, not less than five groups of foreign investors have indicated interest in exploring business opportunities in the sector including mining of the jealously guarded uranium.


While investors from Australia, Canada, Russia and Scadinavian countries have at various times indicated interest in some of the minerals, another group from Dubai also showed up last week to take advantage of the new minerals and mining regulatory document, which has been reworked to accommodate foreign investors who are interested in the industry.


During a meeting with the Minister of Mines and Steel Development Mr. Musa Sada, the spokesperson for the visitors and Senior Vice-President of Mas Clearsight Limited, Mr. Mujtaba Sarfaraz, said the essence of their visit was to explore the possibility of investing in Nigeria?s mining industry.


He noted that his company was into mine development and feasibility studies among other areas.


It was also revealed that some of the minerals they intended to explore and exploit in Nigeria included coal, iron-ore, manganese and copper among others.


With an assurance that the visitors? business will be protected as already highlighted in the Mining Act, Sada said the Federal Government was ready to assist and collaborate with foreign investors towards the development of Nigeria?s mining industry.


He said the Federal Government had expressed its determination to open investment promotion units in the ministry and its agencies, adding that the process of establishing the investment promotion units was in progress.


The minister explained that when the programme was completed and operationalised, both local and foreign investors would easily access online investment information they seek in the minerals and metal sector.


He explained that one major challenge militating against the development of the nation?s mining industry was funding, adding that the present administration was trying to address the challenge through the establishment of a Solid Minerals Development Fund.


Sada restated that banks and other financial institutions were beginning to show interest in investing in the nation?s mining industry as a result of reforms in the sub-sector, adding that the sector was driven by the private sector while government administered and regulated.


He added that the Federal Government was focused on the development of seven strategic minerals such as coal, bitumen, iron-ore, lead/zinc, barytes, gold and limestone.

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