Minister of Mines and Steel Development, Olamilekan Adegbite, has said over 90 per cent of the mining activities in the country is driven by artisanal and small-scale mining (ASM).
Adegbite made this assertion on Wednesday, while commissioning the Gold Processing Plant, a project under the Economic Sustainability Plan of Nigeria in MOPA, MOPA-MURO one of the lga’s in Kogi State.
The minister revealed that the milestones of the projects were to create an enabling environment to support the mining industry through the formalization of the ASM ub-ssector as a major driver of the key growth parameters to engender the development of the mining sector.
The minister reiterated that the scheme would provide an opportunity to highlight the efforts of President Muhammadu Buhari`s administration to open some of the potentials available in the mining sector to serve as alternative revenue sources.
He further explained that the concept of the gold processing plant was a crafted policy to spur job creation and capacity development of gold mining operators in Kogi State and environs through the Economic Growth and Sustainability Plan of the Federal Government.
The minister said, “This project houses several Federal Government initiatives geared towards formalizing the ASM activities, curbing the exploitation of artisanal and small-scale gold miners as well as development of the capacities of our teaming youths to actively participate in the downstream gold value chain.
“It will interest you to note that this project is designed based on the cluster concept which has become a global trend in industrial development to promote shared amenities, agglomeration of similar producers, customers among others.”
Adegbite added that based on the geographical proximity and access to complementary expertise to promote efficiency and increase specialization and production, the plant would create and generate sustainable competitive advantages in the following key areas:
He added, “Some of the notable envisaged outcomes from the International Gemstone Market include but not limited to the followings: Creation of over 20,000 jobs along the gold mining value chain in North Central Zone cluster, while improving revenue generation from ASM subsector for both operators and government, with increased number of ASM operators that are inventoried, formalized, and receiving technical assistance, such emergence of subsidiary and service-oriented companies which will boost further economic activities, to improved infrastructure for benefits of the miners and other surrounding economic actors amongst others.”
The minister further emphasized that Gold Processing Plant is designed with facilities to beneficiate, test, certify, document, effect necessary payments for royalties and processing fees required to support direct international businesses.