Fayemi: Nigeria may lose out on oil but will gain in solid minerals sector

Kayode Fayemi, minister of mines and steel development, says Nigeria has a guaranteed market for its solid minerals even though it may lose out on oil.

He said this on Tuesday while speaking with state house correspondents after his meeting with President Muhammadu Buhari.

Fayemi said the country’s diversification lies in solid minerals especially with countries planning to ban cars using petrol and diesel.

“We are emphasising solid minerals development as a vehicle for diversification, an agenda of Mr President, if we look at what role that will play in the future and the entire non-oil sector,” he said.

“Now, we are talking about our oil wealth going down, at the same time other countries are talking about manufacturing cars that will not use fuel in the next two decades. What will these cars be using?

“If you look at the Tesla vehicles out there, they are all battery powered and where will the battery power come from? It will come from lead, lithium, cobalt, these are things that we have in abundance in Nigeria.

“So, although we may lose out on oil, it doesn’t mean it is a zero sum gain, we may be gaining other things which Mr President is keen on.”

The minister added that mineral resources have contributed significantly to the nation’s gross domestic product and revenue.

He said: “This year alone we have exceeded the target given to us. If you look at the Nationals Bureau of Statistics report, you will see that the two sectors that have contributed immensely to the GDP are agriculture and solid minerals.

“The president asked for an update on Ajaokuta and the Aluminum Smelting Company in Ikot Abasi. I came to brief him on the development to ensure these companies are back to life.

“I told him about the efforts that Mr Vice President has been leading, on ensuring that we have a definitive solution to the sale of Aluminum Smelting Company in Ikot Abasi, and that we also move forward in the resolution and agreement reached on Ajaokuta Steel so that we get ready for the second concessioning.

“We have appointed an adviser, we have appointed a new leadership there because the term of the last leadership has expired. Those were the things we updated Mr President on.”