The Federal Ministry of Solid Minerals Development has rejected claims by the Northern Elders Forum that the Federal Government is planning to establish or owns a gold refinery in Lagos, describing the allegation as mischievous and misleading.
The ministry said the assertion by the Northern Elders Forum was false and did not reflect the reality of developments in the solid minerals sector.
In a statement issued by the forum’s spokesperson, Prof. Abubakar Jika Jiddere, the Northern Elders Forum accused the Federal Government of setting up a gold refinery in Lagos, arguing that the location violated the principle of federal character.
The forum claimed that situating such a strategic facility in Lagos was unfair and questioned the government’s commitment to equitable distribution of national projects.
Responding to the allegation, the Federal Ministry of Solid Minerals Development, through the Special Assistant to the Minister on Media, Segun Tomori, said the refinery in question was not a government project.
The ministry stated that the Lagos gold refinery is entirely a private sector initiative and does not involve any financial contribution or ownership by the Federal Government.
According to the ministry, there is no truth in the claim that the Federal Government is establishing or owns a gold refinery in Lagos.
It explained that the refinery is the initiative of Kian Smith, a fully privately-owned mining company focused on developing Nigeria’s local gold industry through modern and innovative practices.
The statement emphasized that not a single kobo of public funds was invested in the refinery project.
The ministry further clarified that the Minister of Solid Minerals Development, Dr. Dele Alake, never at any time announced that the Lagos refinery belonged to the Federal Government.
It said the minister was clear and unambiguous when speaking about the proposed commissioning of the refinery.
According to the ministry, Dr. Alake explicitly stated that the refinery, like others currently being developed across the country, is privately owned by different companies.
The ministry expressed surprise at the claims by the Northern Elders Forum, noting that the organisation failed to verify basic facts before making public statements.
It questioned how the forum could expect the Federal Government to compel a private company to locate its operations in a specific region of the country.
The ministry explained that private companies make location decisions based on operational efficiency, logistics, access to markets, and profitability considerations.
It stressed that government policy does not dictate where private investors must establish their facilities.
The statement noted that the role of the Federal Government, through the Ministry of Solid Minerals Development, is to create an enabling environment that allows the private sector to invest, grow, and thrive.
It said this approach has guided the ministry’s reforms in the solid minerals sector over the past two years.
The ministry described the emergence of the Lagos gold refinery and similar projects across the country as evidence of the effectiveness of these reforms.
It added that the sector has witnessed renewed investor confidence as a result of policies that prioritize transparency, value addition, and private sector participation.
In strongly worded remarks, the ministry criticised the Northern Elders Forum for what it described as a decline in the quality of its public engagement.
It said the forum, which was once regarded as a platform for serious and thoughtful discourse, had by its recent statements reduced itself to a shadow of its former standing.
The ministry accused the forum of failing to conduct due diligence and research before making claims that it described as embarrassing and uninformed.
It argued that such negligence could only be interpreted as a deliberate attempt to sow mistrust and inflame regional sentiments.
The ministry assured stakeholders, industry players, and prospective investors that it remains committed to encouraging the establishment of processing and manufacturing plants across Nigeria.
It said its policies are designed to ensure that mineral resources are processed locally rather than exported in raw form.
According to the ministry, this value addition policy was introduced two years ago and has already begun to yield tangible results.
The statement noted that the policy discourages the export of raw minerals and promotes local processing and manufacturing, creating jobs and attracting foreign investment.
It cited several major projects stimulated by the reforms, including a $600 million lithium processing plant in Nasarawa State.
The ministry also referenced a $400 million rare earth processing plant in Nasarawa State and a $200 million ASBA lithium plant located in Abuja.
It said these projects have contributed to significant inflows of foreign capital and the creation of thousands of jobs for Nigerians.
The ministry congratulated the founder and Managing Director of the Lagos gold refinery, Nere Emiko, for successfully delivering the project after years of perseverance and leadership.
It described the refinery as a clear demonstration of the private sector’s response to government policies aimed at strengthening Nigeria’s solid minerals value chain.
The ministry urged the Northern Elders Forum to reconsider its approach and align with efforts by the administration of President Bola Ahmed Tinubu to build a stronger and more self-reliant Nigerian economy.
It called on the forum to engage constructively and support initiatives that promote national development rather than spread misinformation.
The ministry reiterated its commitment to policies that ensure sustainable growth of the mining sector and equitable economic opportunities across all regions of the country.
