The Minister of Solid Minerals Development Dele Alake, has launched an eight-member panel to investigate the ongoing dispute between the Osun State government and Segilola Resources Operating Limited (SROL).
This move follows the recent sealing of the gold mining company over allegations of tax evasion and other infractions.
In a statement on Wednesday, Alake emphasized that state governments do not have the authority to independently disrupt mining operations, which fall under the exclusive legislative jurisdiction of the federal government. He reiterated the Nigerian Government’s commitment to addressing the unique challenges faced in the mining sector while collaborating with state authorities.
“Mining companies must adhere to all applicable laws and regulations, including tax obligations and environmental standards. However, it is our firm belief that sub-national authorities do not possess the power to arbitrarily shut down mining operations,” he stated.
The minister pointed out that state governments can apply for mining licenses and have representatives in the Mineral Resources and Environmental Management Committee (MIREMCO), which oversees mining activities. He assured that states are significantly involved in the regulatory process, with five out of the eight MIREMCO members nominated by state governments.
The newly inaugurated committee includes Imam Ganiyu (Chairman), Dele Oye (Vice-Chairman), and Pwol Dareng (Secretary), among others. Its terms of reference encompass identifying the root causes of the dispute, reviewing contractual obligations, and assessing the impact of SROL’s operations on local communities.
The Permanent Secretary of the ministry Mary Ogbe, urged state governments to collaborate with the Nigerian Government to prevent disruptions in mining activities, warning that such actions could deter foreign investment vital for the sector’s development. The panel is expected to submit its findings within seven days.
