Introduction to

WORKSHOP 3
Nigeria's Mining
Industry
DAY 1

18-04-2023

Dr. Irmiya S. Amoka

BSc Mining, MTech Geology
PhD Mineral Exploration
 MINISTRY OF MINES AND
STEEL DEVELOPMENT THE WORLD
BANK

Mineral Sector Support for Economic Diversification

(MinDiver)
Workshop 3: Train the Trainer (ToT)
(World Bank Assisted Project)

for Financial Service Training Institutions

mining financing
DATE 18 th – 19th April, 2023 | TIME 10:00 am
VENUE
Rockview Hotel Royale, Abuja
 Course Objective

This course is designed to provide and

improve non-mining participants with better
understanding of the Nigerian mining
industry, with fundamental knowledge and
insight into mining operations, regulations,
and business dynamics.

Introduction to Nigeria’s Mining Industry

 Introduction to Nigeria’s Mining Industry

HIGHLIGHTS

Mining industry and development

Nigeria’s mining history
Geology and mineral resources of Nigeria
Active mines in Nigeria
Mining sector administration
Mining business dynamics
 Mining industry and development
Mining:
the activity, occupation, and industry concerned with the
extraction of minerals

Mineral:
Geologic/technical: a naturally occurring inorganic
element or compound having an orderly internal structure
and a characteristic chemical composition, crystal form,
and physical properties

Generic/Commercial: any material resource which can be

economically extracted from the earth’s crust. Includes
mineral, sand, rock, water, petroleum
Mining industry and development

Figure 1. Minerals in our Daily Lives

 Minerals in our Daily Lives
Just imagine a world
without minerals? Civilization stages
 Stone age
 Bronze age
Basic Needs of Man  Iron age
 Food & health, agric,
food process, Modern life/industry
medicine, pharmacy  Power/energy,
 Shelter, house, electricity
construction  Info & Communication
 Clothing, textile,  Social media
jewelry, ornament  Automation
 Transport & Space,
road, rail, air, sea,
trade, industry, tourism
 Types and uses of mineral materials
Mineral Examples Uses
Group
Energy Coal, bitumen, petroleum Power, fuel, plastics
minerals
Metallic Tin, columbite, gold, Steel, electrical,
minerals silver, iron, lead, zinc, automobile,
copper, aluminium construction
Construction Sand, gravel, aggregate, Buildings, roads,
minerals granite, limestone, marble bridges, pavements
Industrial Talc, phosphate, feldspar, Cement, fertilizer,
minerals quartz, baryte, kaolin, ceramics, glass,
gypsum, salt, clay, mica paint, cosmetics
Gems minerals Amethyst, emerald, Jewelry, ornaments,
sapphire, ruby, diamond, abrasives
tourmaline
Historical timeline of Nigeria’s mining sector
(MMSD, Roadmap 2012)
 History and contribution of mining in Nigeria

 Exciting mining before oil boom.

 Ancient mining and smelting of iron on Itakpe hill
 Exploration for several solid minerals dates back to more
than 100 years, eg, Lead, Zinc, Tin, Gold
 Local mining and uses of salt, lead for decoration, clay for
construction, clay for medication (nzu)
 Before independence, up to civil war era, Coal was
produced in Nigeria
 Coal for export and local use for electricity. Enugu, Opara,
Onyeama, Okaba, were active
 Nkalagu limestone was mined for cement making
 History and contribution of mining in Nigeria
 By early 1960s, Nigeria ranked globally as 6th producer of Tin,
and 1st in Columbite: for a long time.
 Cassiterite (tin ore) was mined and processed in Jos, and was
smelted at Makeri for export
 Niobium from columbite is used in aircraft manufacture
 Mining contributed significantly to GDP, employment, railways,
social amenities Apart from coal, mining of minerals and metals
was entirely operated by private enterprises (mainly British).
 Then came the indigenization of mining in 1972.
 And since then, the solid minerals sector has been on
continuous decline.
 Nigerian Coal Corporation, Nigerian Mining Corporation with
several subsidiaries collapsed: quarries, baryte, gold, talc,
kaolin, bricks
Simplified Geologic Map of Nigeria (Amoka, 2022)
Mineral Map
of Nigeria
(Amoka, 2022)
The 34 solid minerals in Nigeria, MSMD, 2006
 Current mineral production in Nigeria
Mineral Location Value chain Uses Company
Talc Kagara Mine, Process Fertilizer, Ceramics Crystallizer

Limestone Ashaka, Ewekoro Mine, Process Cement Lafarge

Limestone Okpella, Sokoto Mine, Process Cement BUA
Marble Obajana Mine, Process Cement Dangote
Coal Ashaka Mine, Process Kiln, Electricity Lafarge
Coal Ankpa Mine Fuel Zuma, ASM
Coal Enugu Mine Fuel, Power Foreign
Gold Anka, Minna, Ilesa Mine, Process Jewelry, Currency Forein, ASM
Granite Various Quarry, Process Aggregates, Gravel Various
Cassiterite Jos Mine, Process Tin metal ASM
Columbite Jos Mine, Process Niobium ASM
Gems Various Mine Jewelry Foreign, ASM
Sand Various Mine Construction Various, ASM
 Mining industry operations

Prospecting Exploration
Reconnaissance + Feasibility

RECLAMATION/CLOSURE
ENVIRONMENT
Mine Mining Process
Development Production Refine

Haul Market

Stages and processes for mineral production

Mining value chain overview

❑ Mining is never properly done in isolation, nor is it an

entity in itself.
❑ It is preceded by geologic investigations that locate
the deposit and economic analyses that prove it
financially feasible (prospecting, exploration).
❑ Following extraction of the mineral, the run-of-mine
material is generally cleaned or concentrated. This
preparation or beneficiation of the mineral into a
higher-quality product is termed mineral processing.
❑ The mineral products so produced may then undergo
further concentration, refinement, or fabrication during
conversion, smelting, or refining to provide consumer
products.
❑ The end step in converting a mineral material into a
useful product is marketing.
 Prospecting and Exploration,
❑ Prospecting and exploration which precede actual mining, are
linked and sometimes combined.
❑ The line of demarcation between prospecting and exploration
is not sharp; in fact, a distinction may not be possible in some
cases.
❑ Geologists and mining engineers often share responsibility for
these two stages — geologists are more involved with
prospecting, while mining engineers are more involved with
exploration.
❑ Mineral Prospecting (also described as reconnaissance) is the
first stage in the utilization of a mineral deposit. It refers to the
search of economically valuable minerals.
❑ Exploration determines as accurately as possible the size and
value of a mineral deposit, utilizing techniques similar to but
more refined than those used in prospecting.
Mine Development and Mining Production

❑ Mine development and production are closely related stages.

❑ The essence of extracting mineral values from the earth is to
drive an excavation or excavations from the surface to the
mineral deposit.
❑ Normally, these openings into the earth are meant to allow
personnel to enter into the underground deposit.
❑ The details of the procedure, layout, and equipment used in
the mine distinguish the mining method.
❑ This is determined by the geologic, physical, environmental,
economic, and legal circumstances that pertain to the ore
deposit being mined.
❑ If the excavation used for mining is entirely open or operated
from the surface, it is termed a surface mine.
❑ If the excavation consists of openings for human entry below
the earth's surface, it is called an underground mine.
Processing / Beneficiation and Marketing

Dry Process Wet Process Combined

Sort Wash Ore Reduction
Crush Jig Comminution
Grind Sort Concentration
Sieve Dry Refining
Package Package Drying

Marketing/Utilization
Buying & Selling, Export
Fabrication, Construction
 Environment, Reclamation and Closure
❑ The final stage in the operation of most mines is reclamation,
the process of closing a mine and recontouring,
revegetating, and restoring the water and land values
❑ Reclamation and closure of the mine site has become a
necessary part of the mine life cycle because of the
demands of society for a cleaner environment and stricter
laws regulating the abandonment of a mine.
❑ The overall process of developing a mine with the future
uses of the land in mind is termed sustainable development.
❑ Reasonable levels of reclamation should be done at the end
of each key stage of the mining process.
❑ The new philosophy in the mining industry is sustainability,
that is, the meeting of economic and environmental needs of
the present while enhancing the ability of future generations
to meet their own needs.
 Key Players in the Mining Industry

Investment
Investor Mining Technical
Financiers Mining Operators
Regulation/Control Banks Small, Medium, Large
Government agencies Insurance Professionals
Ministry for mines Geology/Exploration
Geological Survey Mining Engineers
Mining Cadastre Miners
Environment, Security
Mining Legislation Mine services
FRIS/Tax/ NEITI Environment
Mining Standard Engineering
Customs Stages of Mining Capacity
Prospecting/ Education, Training &
Reconnaissance Research
Exploration/Feasibility Professional Bodies
Mine Development NGO
Mining/Processing Equipment
Marketing/ Manufacture
Consumption Leasing
 Conclusion and Recommendation
❑ Nigeria’s solid minerals contributed significantly to national
economy before attention was almost totally shifted to oil.
❑ Many private companies presently engage in significant
mining of industrial minerals, especially for construction,
ceramics, and fertilizers
❑ Several local and foreign artisanal and small scale miners
engage in exploring and mining of gemstones and gold, but
they are mostly done illegally and haphazardly.
❑ Federal Government should facilitate sustainable minerals
investment and production, by ensuring secure business
environment, transparent regulations, and strategic initiatives.
❑ Investors and financial institutions should venture into mining
because of its overall benefits for national and international
economy and development.
Thank You

for

Listening