Loveth Okoli
Nigeria’s Minister of Mines and Steel Development, Mr Olamilekan Adegbite, has said the government has pledged to make the nation a major gold producing hub in Africa.
He said Nigeria is ready to give necessary support to the sector to drive the diversification plan of the economy from oil.
Adegbite said during a facility tour of Segilola Gold Project, Iperindo, Osun State.
He explained that the Federal Government was poised to support mining companies to grow the economy and create jobs for its citizens.
According to him, the visit was to lend support to the company and to inspect the level of work carried out at the site. He thereafter expressed delight at the progress of work done.
Adegbite said, “We want to make Nigeria a major gold producing hub in Africa and this is why the administration of president Buhari has given so much support to this sector to ensure that we diversify our economy away from oil .
“Indeed the Ministry of Mines and steel development has provided a number of incentives to businesses and investors to spur growth in the sector. Some of the incentives include: waiver on Customs and import duties for plant, machinery and equipment imported for mining operations.
“Tax holidays of between three to five years for businesses as applicable. Free transferability of funds and permission to retain and use earned foreign exchange.
Capital allowances of up to 95% of qualifying capital expenditure. Deductibility of Environmental Costs (money meant for environmental remediation will be tax free) and 100% ownership of mineral properties.”
Assuring Nigerians that the project would be completed before the end of the second quarter of 2021, the Chief Executive Officer, Segilola Gold Project, Segun Lawson, stated that in spite of the challenges brought about by the pandemic, the company’s target production start date would not change.
He added that the company was aiming to produce an average of 80,000 ounces of gold per year for the life time of the mine.
He said, “The company had created 500 direct jobs and 1100 indirect jobs. Despite the challenges of constructing during the pandemic we have ensured that all our facilities are built to world class standards.“
