From Mineral Wealth to Lasting Economic Value: How Collaboration Can Unlock Nigeria’s Mining Potential

Austin Menegbo Nigeria’s mineral potential has been discussed for decades. From gold and limestone to lithium, the country’s vast mineral deposits could support manufacturing, create jobs and reduce dependence on oil. But turning these resources into commercially viable operations is a long and demanding process. The challenge is not simply extracting what lies beneath the ground but converting mineral wealth into lasting economic value. Mining projects require patient capital, reliable infrastructure, technical expertise, clear regulatory processes, skilled workers and the trust of host communities. Delivering these conditions requires stakeholders with different priorities and responsibilities to work towards a common goal. The 11th Nigeria Mining Week, held from October 12–14, 2026 at the Abuja Continental Hotel, provided an opportunity to examine this challenge. Segilola Resources Operating Limited (SROL) participated as a Diamond Sponsor and Delegate, contributing its operational experience to conversations about the sector’s future. The company’s journey offers a practical example for understanding what the Nigerian mineral industry has achieved and what it will take to build on that progress. From Potential to Proof Segilola moved Nigeria’s gold mining story from potential to production when it poured its first gold in 2021 and had its first full year of commercial production in 2022, establishing the country’s first commercial large-scale gold mine. Getting there was not without challenges. Construction coincided with the COVID-19 pandemic, bringing health risks, supply chain disruptions and logistical constraints. As a pioneer in modern commercial gold mining in Nigeria, the company also had to develop local technical capacity and establish the systems required to operate a modern mine. Overcoming these hurdles required investment, technical expertise and coordination across multiple stakeholders. Since commencing production, Segilola has sustained commercial operations, producing 91,910 ounces of gold in 2025. Its parent company, Thor Explorations Ltd, has repaid its debt facility with the Africa Finance Corporation (AFC) and has paid quarterly dividends to investors. Local capacity building has been another important part of this journey. With 99 per cent of its workforce Nigerian, Segilola demonstrates how developing local talent can support commercial operations while expanding opportunities for Nigerians to participate in the mining industry. These milestones show that large-scale commercial gold mining is possible in Nigeria. The next challenge is to build on this foundation and create the conditions for more projects to follow. Why Mining Industry Needs Collaboration If Segilola shows what is possible, replicating and expanding that success requires an ecosystem capable of supporting more projects. The first requirement is stronger coordination between government institutions and the industry. Although mining is primarily a federal responsibility, operators must engage with many institutions across the life of a project – from land access and environmental approvals to taxation, immigration, power, trade and community relations. Overlapping requirements, unclear procedures, and unpredictable timelines can complicate project development and make investment decisions harder. Investors can assess demanding technical requirements and rigorous standards, but uncertainty is harder to manage in a capital-intensive industry where projects may take years to generate revenue. Better coordination between institutions, supported by clearer approval processes and predictable timelines, would help investors assess risks and plan with greater confidence. Access to appropriate financing is also essential. Commercial mines require substantial spending on feasibility studies, infrastructure, equipment and personnel before generating revenue. Operators must provide credible project information and robust development plans, while closer engagement with financiers can improve understanding of mining risks and help viable projects secure capital. The economic benefits of mining must extend beyond extraction. A stronger sector should create opportunities for Nigerian suppliers, service providers, processors and manufacturers. Building technical expertise, improving access to specialised equipment and strengthening local supply chains can help more businesses participate in the industry and retain greater economic value within the country. Equally important is building lasting relationships with host communities. Meaningful engagement, local employment, worker safety, and responsible environmental stewardship help build the trust and stability mining operations need to thrive. All these priorities are interconnected. Without regulatory certainty, investment becomes more difficult; without technical capacity, local participation is limited; and without responsible environmental practices and community confidence, the long-term viability of mining operations becomes uncertain. Progress therefore depends on addressing these challenges together rather than treating them as separate issues. Mining Week and Stakeholders Engagement This is where platforms such as Nigeria Mining Week become valuable, bringing government, operators, investors, service providers, communities, and civil society into the same conversation to compare experiences, identify shared challenges, and explore practical solutions. The government may set policy and regulatory direction, but operators understand the practical realities of developing and running mines. Investors and financial institutions bring perspectives on capital and risk, while technical experts, service providers, and host communities contribute knowledge essential to building viable and responsible operations. However, transforming the sector requires sustained engagement beyond annual gatherings. A standing forum would allow stakeholders to track agreed actions, address emerging constraints and draw on operational experience to improve policy implementation. Government, operators, investors, host communities and civil society must all have a meaningful voice, with clear responsibilities for turning decisions into action. Such engagement can help resolve challenges before they become disputes or stalled projects. Segilola’s experience demonstrates that Nigeria’s mineral potential can be translated into commercial production, local employment and sustained economic activity. Replicating that progress, however, will require more than the success of individual operators. It will depend on clear, predictable regulation; investment in technical capacity and infrastructure; stronger local supply chains; and relationships with host communities built on trust and shared value. Platforms such as Nigeria Mining Week provide an important opportunity to bring these priorities together, enabling government, industry, investors and other stakeholders to move beyond identifying challenges towards developing practical solutions. Progress will ultimately be measured by whether these conversations translate into better conditions for existing operators, greater confidence for prospective investors, and more opportunities for Nigerians to participate in the mining value chain. . Austin Menegbo is the Country Manager, Segilola Resources Operating Limited (SROL)