The Federal Government has warned mining companies to comply with Community Development Agreements (CDAs) or risk losing their licenses as it intensifies enforcement in the sector.
Minister of Solid Minerals Development, Dele Alake, issued the warning on Friday in Abuja at the opening of a two-day ministerial retreat. He said companies that fail to sign or implement the agreements would face strict sanctions.
Alake disclosed that he has directed the Permanent Secretary to compile a list of defaulting firms, noting that decisive action would soon be taken.
Community Development Agreements are mandatory under Nigerian mining regulations and are designed to ensure host communities benefit from mining activities.
The warning comes amid broader reforms in the sector, where the government has already revoked thousands of licenses and tightened compliance measures to curb violations and improve accountability.
The minister also urged ministry staff and agencies to sustain progress under the government’s reform agenda, focusing on innovation and measurable outcomes to drive economic growth.
He reiterated the government’s commitment to boosting local mineral processing, citing recent investments such as a lithium processing facility in Nasarawa State as part of efforts to increase value addition and reduce raw mineral exports.
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