By Gloria Ofor
Mining sector expert Steven Kefas has raised alarm over the state of Nigeria’s solid minerals industry, describing it as a “national crisis” driven by regulatory negligence, corruption, and reckless prioritization of foreign investment.
Kefas made the remarks during a recent interview, warning that the sector, which should serve as a pillar of economic diversification, has instead become a gateway for exploitation and insecurity.
“Nigeria’s solid minerals sector should be a cornerstone of national prosperity. IInstead, it has become a testament to how regulatory negligence, endemic corruption, and the dangerous prioritization of foreign investment over due diligence can transform economic opportunity into national crisis,” Kefas noted.
Nigeria is estimated to sit atop $750 billion worth of mineral reserves distributed across all 36 states. However, despite this potential, industry insiders say the regulatory framework has collapsed, allowing foreign investors with questionable track records to gain access to strategic mineral sites.
Kefas stated that one of such cases is Australian executive Colin Ikin, who is reportedly negotiating with the Ministry of Solid Minerals Development and state officials in Kaduna and Nasarawa, offering $300 million in investment and lithium processing facilities.
While state officials are celebrating his proposals, Kefas alleged that Ikin’s history includes a failed venture that cost investors $750 million and allegations of fraud and forgery in Zimbabwe.
“Zimbabwe’s former Chairman of mines and energy, Temba Mliswa, has documented similar concerns about foreign operators exploiting weak regulatory frameworks across Africa. “A peculiar case of Colin Ikin, a dodgy mining mogul, has raised my interest. Why does government seem hell-bent on protecting rogue white business people in this country?” Mliswa questioned, highlighting a broader continental challenge that Nigeria has failed to heed.
“According to Mliswa’s documentation, Ikin faces serious allegations in Zimbabwe, including criminal activity reported to police, forgery of bank documents, and illegal withdrawal of funds. “This time around he is alleged to have forged bank documents and went ahead to illegally withdraw US$10,000 from an Afrocash Micro NMB account,” Mliswa noted, describing police cases for fraud and forgery of company documents.
“The Zimbabwean experience offers stark warnings that Nigeria continues to ignore. As Mliswa observed, “It seems we are intent on becoming a safe haven for foreign criminals,” while “our own people are constantly faced with the rough edges of the law to the point of being second-class citizens.” This regulatory capture – where foreign operators receive protection despite questionable practices – has become the hallmark of Nigeria’s mining sector,” he said.
Kefas noted that the desperation for foreign capital has weakened Nigeria’s regulatory defenses, allowing operators with troubling records to gain influence.
The consequences, he said, are no longer just economic but extend to national security, especially in regions where mining activity has triggered violent conflict.
Kefas called for a complete overhaul of the Mining Cadastre Office, with stronger oversight, new leadership, and community-inclusive processes. He also advocated for strict due diligence on all foreign investors, including background checks and financial capacity assessments.
Kefas warned that the regulatory vacuum is contributing directly to insecurity. Mining communities in states like Zamfara, Niger, Benue, and Taraba have become targets of armed groups, forcing state governments to suspend mining activities altogether.
“The next bandit attack on a mining community should not be required to focus minds in Abuja. The time for reform is now — before more lives are lost and more national resources are squandered,” he said.