PwC sees good trajectory for mining sector
Leading professional services firm, PwC Nigeria sees a good trajectory for the country’s mining sector as it restates commitment to supporting the growth of the struggling industry in line with the country’s overall economic diversification efforts.
Uyi Akpata, PWC’s Country senior partner noted that the firm’s commitment to supporting the sector is to build trust in the society and solve important problems and have also led advocacy for increased focus on solid minerals development to drive a sustainable economy.
“On behalf of the partners of PwC Nigeria, I wish to assure you that we are in this for the long term and will continue to support not only the organisation of industry players but also in build capacity in the sector and helping companies invest and operate profitably in it,” Akpata noted at the 3rd edition of the Nigeria Mining Week in Abuja.
According to him, PWC has long identified the potential of the mining sector, particularly in diversifying the revenue base of government and creating opportunities for Nigerians, adding however that “government cannot achieve it alone and that is why we have sustained our efforts in playing our own part in the organisation of this annual gathering.”
Organised by the Miners Association of Nigeria in partnership with PwC Nigeria and Spintelligent, the Nigeria Mining Week provides a high-level, strategic mining investment platform, linking investors,
project developers, financiers, technology providers and government to share best practices and demonstrate the latest strategies to evolve the sector successfully.
In a chat, Cyril Azobu, partner, Head Advisory Unit at the PWC told BusinessDay that their major achievement has been in bringing people together and ensuring a clear understanding between businesses and government.
“One of the things we have achieved is bringing the voice of the people to the ears of the government and helping the government to come up with policies that aim to address or speak to the problems that people have. One of the achievements really is direction, the road map is there, policies have been introduced, policies are amended, and in everything we see the direction that the ministry is heading.”
Azobu said PWC is proud that its efforts to bring together stakeholders has yielded so much result, culminating into a mining week which, in its third year has continued to get bigger and better with increased participation by stakeholders both from within and outside the country.
Azobu sees a sector in a place where private sector dominance is becoming very real and finding solution to the funding issues that they currently have, “I see a more formalized sector but that is based on continuity in policy execution regardless of who comes in, in the coming elections.
I see a good trajectory for the sector,” he stated.
Abubakar Bawa Bwari, minister of state for Mines and Steel Development had announced of private investors’ plans to commit about $3.32bn to fund some projects in the mining sector.
According to Bwari, the fund will be used to fund gold mining and refining, foundry works, lead/zinc exploration and production, tin, tantalite and columbite mining and processing.
He also assured that the government was making effort to tackle challenges hindering the formal exploitation of gold, tin and lead-zinc as well stop indiscriminate exports of these mineral commodities to foreign smelters.
Bwari said that the ministry had also developed a new Export Guidelines for the Export of Mineral Commodities to ease challenges surrounding the granting of export permits and other licensing issues.
“We have strengthened our policy and institutional frameworks for investors in the mineral sector to ease their businesses. Government has released funds from Natural Resources Development Fund for the generation and provision of necessary geosciences data to attract investors,” he stated.
Five exploration contracts and consulting services for gold and platinum group metals, Rare Earth Metals, Base Metals, Barytes, and Iron Ore, were recently awarded through competitive bidding to carry
out resource mapping for potential minerals, Bwari also announced.
He added that the Electro-magnetic survey data for three highly prospective gold and lead zinc zones have also been acquired and are available for interested investors.
Sani Shehu president of the Miners Association of Nigeria noted that a lot of progress has been made in the last year with government addressing a lot of the issues raised by industry stakeholders.
He however called for more efforts to be made especially in the area of access to the various funding initiatives being put in place for artisanal and small scale miners.