Untapped Wealth: Nigeria’s Immense Potential in the Mining Sector
Nigeria’s mining potential is hindered by poor sector funding and private sector hesitance, stalling promising projects at early stages
Nigeria boasts a wealth of mineral resources that span from gold to tantalite, limestone, and everything in between. The nation’s geological composition presents a treasure trove waiting to be tapped.
However, despite having an estimated $700 billion worth of mining potential, mining exploration in Nigeria remains poorly funded, with only a fraction of mining projects reaching their full potential. Many promising projects languish in the exploration stage due to difficulties in accessing financing for project design, construction, and production.
The high capital risk and expertise gap associated with the sector have continued to pose significant challenges for private sector participation and investments.
What Solution have we Created?
We have partnered with the AFC to co-fund and co-develop commercial-scale mining projects in Nigeria.
Africa Finance Corporation (AFC) and the Solid Minerals Development Fund (SMDF) have partnered to co-fund and co-develop commercial-scale mining projects in Nigeria. An initiative of this partnership is the Project Development Facility, launched to fast track the development of priority mining projects in Nigeria. The partnership aims to mitigate risks and create a pipeline of high-quality projects with economic impact.
The Project Development Facility focuses on precious and base metals, bulk minerals, and minerals critical to the global energy transition. The AFC-SMDF partnership seeks to address challenges hindering Nigeria’s mining potential and unlock its full spectrum of opportunities.