Nigeria Moves to Stop Gold Smuggling, Boost Revenue

Date:

Vice President Kashim Shettima

The National Economic Council (NEC) on Thursday announced plans to launch a nationwide crackdown on illegal gold mining as part of efforts to protect Nigeria’s natural resources and boost government revenue.

The decision followed NEC’s move to broaden the mandate of its Ad-hoc Committee on Crude Oil Theft Prevention and Control, chaired by Imo State Governor Hope Uzodinma, to include illegal mining and mineral smuggling.

Briefing State House correspondents after the 153rd NEC meeting chaired by Vice President Kashim Shettima at the Presidential Villa, Abuja, Uzodinma said the expansion reflects government’s resolve to block leakages in the solid minerals sector.

“The National Economic Council Ad-hoc Committee on Crude Oil Theft Prevention and Control, which I chair, presented an interim report today. NEC received it with satisfaction and expanded our terms of reference to also cover solid minerals because our resources are being mined and stolen without adding to national revenue,” Uzodinma said.

He explained that the committee would collaborate with the Ministry of Solid Minerals Development, the Nigeria Extractive Industries Transparency Initiative (NEITI), and security agencies to curb gold smuggling, illegal quarrying, and unregulated exports.

“Going forward, our committee will ensure that revenues from solid minerals like gold and other valuable resources are protected from theft,” he added.

The ad-hoc committee was first set up in 2022 under former President Muhammadu Buhari to address crude oil theft and pipeline vandalism, which had crippled production and foreign exchange earnings.

Nigeria’s illegal mining sector has grown into a multibillion-naira shadow economy, particularly in gold and lithium, with NEITI estimating annual losses of over $9 billion. Most unlicensed operations are reportedly controlled by criminal networks in the North-West and North-Central regions.

Uzodinma said the committee’s expanded mandate will align with existing resource protection efforts in the oil industry, noting that similar security frameworks would now be extended to the solid minerals sector.

The committee is expected to submit its first progress report under the new terms at the next NEC meeting in November.

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