Japaul Gold Ventures has unveiled a N26.0 billion contract for sand mining at Gracefield Island, a strategic development at the end of Chevron Drive, Lekki, Lagos.
Chairman of the company, Jegede Paul said that the deal, which was signed with Gravitas Investment Limited, is to reclaim swamps from the lagoon,l and transform the area into a high-end residential and commercial hub that could rival the luxury of Banana Island.
Paul stated that the project would avail the Japaul Gold mining of 3.5 million cubic meters of sand to restore 200 hectares of land over the next 26 months, saying the project would pave way for provision of wold-class amenities, including a golf estate, a boat club, yatch parking and shopping malls.
“Indeed, this disclosure published on the Nigerian Exchange (NGX), and that developments is a beginning of transformation that will turn Lekki into one of Lagos’ most sought-after neighborhoods.” Paul said
He said the reclamation of Gracefield Island promises to be a landmark project in the evolution of Lagos’ real estate market, with its prime location at the end of Chevron Drive and once completed it would offer some of the most sought-after residential and commercial spaces in the city.
He further stressed that the new estate would be designed with top-tier amenities that cater for the growing demand of upscaling housing and recreational space, noting that developers are looking to create a new “Banana Island,” one of Lagos’ most affluent residential areas.
“In fact, it is a focus on sustainability, revenue generation, andshareholders’ value, Japaul Gold is positioned to become a dominant player in the Nigerian mining and real estate sectors. As the company continues to expand its operations and diversify its income streams, its future prospects look increasingly promising,” Paul assured
He said that the company’s intensification of its sand mining and land reclamation activities come as part of a broader strategy to finance its gold mining ambitions, adding that the company had recently completed a private placement to raise funds for its various gold mining projects across Nigeria.
Paul said that it holds mining leases and exploration permits which was a significant step toward securing the capital required for the company’s transition into full-scale gold production, which is projected to begin in 2026.
He said further that sand mining contract at Gracefield Island is not just an opportunity to tap into the lucrative real estate and land banking market, but also an important element in Japaul Gold’s financial health.
According to him “Sand mining is a significant industry in Nigeria, particularly for land reclamation projects, and Japaul Gold’s involvement will bolster its financial position while it prepares for its gold production phase.”
Paul said the gold mining would provide a significant boost to Japaul Gold’s portfolio, and the company is optimistic about the prospects of both large-scale and small-scale mining operations.
He said Japaul Gold has demonstrated remarkable growth in its financial performance, signaling its readiness for future challenges, saying the company had reported a pretax profit of N174.7 million for Q3 2024, marking a 134.36% increase from the same period in the previous year.
He added that revenue for the third quarter saw an impressive 190.27% increase, rising from N319.5 million in Q3 2023 to N927.6 million in Q3 2024.
The majority of the company’s revenue came from its offshore unit, which contributed N1.5 billion over the first nine months of 2024, noting that Japaul Dredging team also added significantly, with a contribution of N520.9 million.
He said “With its consistent upward trajectory in the stock market, Japaul Gold’s shares were priced at N2.16, indicating strong and sustainable investor’s confidence in the company.”
He added that Japaul Gold progresses with its sand mining projects and prepares for full-scale gold production, the company is setting itself up for long-term success. The reclamation of Gracefield Island is just one facet of its diverse portfolio, with substantial growth expected in both its gold mining operations and other ventures.
