Nigeria, US Sign Pact to Deepen Mining Investment

Nigeria and the United States have signed a framework agreement aimed at deepening American investment in Nigeria’s mining sector and developing the country’s mineral resources.

The agreement was signed in New York by Nigeria’s Minister of Solid Minerals Development, Dele Alake, and US Deputy Secretary of State Christopher Landau on the sidelines of the 81st United Nations General Assembly.

The framework is designed to strengthen cooperation across Nigeria’s mineral value chain, covering geological data and exploration, mineral development and processing, infrastructure, and technical capacity building.

Nigeria estimates the value of its mineral resources at about $700 billion, with the government seeking to attract greater investment into the sector as part of efforts to diversify the economy beyond oil.

Alake said the agreement would provide a platform for government-to-government cooperation while supporting business-to-business transactions and commercial partnerships.

He said Nigeria’s objective was to move beyond exporting raw minerals and retain more value within the country through increased local processing, skills development, quality jobs and opportunities for Nigerian businesses.

The minister said the next phase would focus on identifying viable projects, mobilising investment and developing partnerships capable of producing measurable economic benefits.

The agreement also places emphasis on secure and resilient supply chains for critical minerals, as demand grows globally for minerals used in technologies such as electric vehicle batteries and renewable energy infrastructure.

Landau said the United States viewed Nigeria as an important regional partner and expressed Washington’s willingness to support the country’s economic growth.

The agreement comes as Nigeria continues efforts to develop its largely underdeveloped mining industry and attract international capital and technology into mineral exploration and processing.

The country has deposits of several commercially important minerals, including lithium, gold, tin, gemstones, iron ore and phosphate.

Government officials have increasingly promoted local processing as a way of creating jobs and increasing the economic value derived from Nigeria’s mineral resources.

The implementation of the framework will now determine how quickly the partnership translates into specific mining projects, processing facilities, infrastructure investments and commercial opportunities.

The pact represents a new framework for Nigeria-US cooperation in the mining sector, with both countries expected to work towards identifying projects and investments that can strengthen the mineral value chain and expand economic opportunities.