Nigeria and Saudi Arabia have commenced discussions on a strategic partnership to extract and process iron ore into steel, marking a new milestone in bilateral cooperation within the mining and minerals sector.
During the Resourcing Tomorrow event at the Mines and Money Expo in London, Nigeria’s Minister of Solid Minerals Development, Dr. Dele Alake, met with Saudi Arabia’s Deputy Minister of Minerals and Energy, Engr. Khalid bin Saleh Al-Mudaifer. The discussions centered on leveraging Nigeria’s vast iron ore reserves for domestic beneficiation and value-added steel production, rather than exporting raw ore.
This development was disclosed in a statement by Mr. Kehinde Bamigbetan, Special Adviser to the Honourable Minister.
Dr. Alake stressed that value-added steel exports would attract premium prices in international markets, contributing significantly to Nigeria’s economic diversification efforts. Engr. Al-Mudaifer expressed Saudi Arabia’s interest in sourcing iron ore from Africa and welcomed Nigeria’s proposal. Both parties agreed to continue talks at the Future Metals Forum in Riyadh, Saudi Arabia, in January 2025.
Dr. Alake also held high-level discussions with leading global investors and mining firms:
Woodcross: The firm conducted preliminary surveys in Jos, Plateau State, confirming sufficient tin deposits to justify a long-term investment in tin processing. A final investment decision is expected in February 2025.
Gerald Group: The company expressed willingness to form a joint venture in Nigeria’s tin sector, with support from the Nigerian Solid Minerals Corporation, which the Tinubu administration plans to establish.
AMG Group and Business Idea Management Centre (China): Both firms committed to mobilizing global capital for Nigeria’s mining projects, with AMG highlighting the positive impact of recent reforms.
To ensure the smooth take-off of these projects, Dr. Alake established a Ministerial Committee to oversee timelines and progress. He also directed the Solid Minerals Development Fund to collaborate with international investors to diversify funding sources for Nigeria’s mining initiatives.
At the forum, stakeholders discussed the proposal for an African Extractive Minerals Bank to fund exploration projects across the continent. As Chair of the Africa Minerals Strategy Group (AMSG), Dr. Alake pledged to advocate for the initiative at the group’s next meeting in Riyadh.
Dr. Alake reaffirmed the Tinubu administration’s dedication to transforming Nigeria’s mining sector through strategic partnerships, local value addition, and the establishment of the Nigerian Solid Minerals Corporation. These initiatives aim to position the mining sector as a cornerstone of Nigeria’s industrialization and economic diversification agenda.
Through these efforts, Nigeria is solidifying its role as a key player in the global mining and steel industries.
