Nigeria's Mining Sector Reforms Boost Revenue Amid Challenges

Nigeria's solid minerals sector has experienced significant reforms since 2023, focusing on modernizing the industry, enhancing regulation, and attracting investment. Revenue from the sector increased from approximately ₦16 billion in 2023 to over ₦70 billion in 2025.

Despite these advancements, illegal mining remains a critical issue, contributing to insecurity, environmental degradation, and social disorder, particularly in Northern Nigeria. The Niger State tragedy, which resulted in the loss of 37 young lives, has been linked to illegal mining and negligence by Civil Defense officers.

The Nigerian Minerals and Mining Act, 2007, along with the Nigeria Tax Act 2025, governs the sector, yet challenges persist due to poverty, unemployment, and weak enforcement. The government aims to formalize artisanal mining and improve revenue while addressing the interconnected issues of illegal mining and environmental concerns.