The Minister of Solid Minerals Development, Dr. Dele Alake, has urged the 18 winners of the first round of the Bitumen blocks bidding process to put in diligent efforts to develop Nigeria’s Bitumen deposits.
This directive was conveyed during a Thursday meeting with the concessionaires at the ministry headquarters in Abuja.
In his address, Alake emphasized the importance of adhering to the terms of engagement and relevant sections of the Mining Act, while also considering the interests of host communities and seeking their cooperation.
He stressed the potential of Nigeria’s Bitumen reserves, stating that with an estimated reserve of 42 billion barrels and the second-largest deposit globally, Nigeria should aim to become a major net exporter of Bitumen.
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Alake encouraged the concessionaires to focus on factors such as tax contributions, royalties remittance, local value addition, employment generation, and community engagement through Corporate Social Responsibility initiatives.
He advised them to strive for excellence in their operations, as their performance would serve as encouragement to prospective investors.
The minister assured the Bitumen investors of the Federal Government’s support, highlighting the significant economic growth potential and the diversification of the economy that their success could bring.
Additionally, the Director-General of the Mining Cadastral Office, Obadiah Nkom, disclosed that the latest bidding process resulted in the granting of 34 Bitumen licenses, comprising 18 exploration licenses and 16 mining licenses.
He noted that previous attempts at concessioning Nigeria’s Bitumen blocks in 2002 and 2008 had been unsuccessful.
In further developments, Minister Alake inaugurated two committees for the development of Bitumen.
The first committee, chaired by Nkom, is a ministerial committee, while the second committee is a technical committee tasked with monitoring and evaluating Bitumen activities, chaired by the Director of Mines Inspectorate of the Ministry, Imam Ganiyu.
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