By Engr Alexander Elemo, MNSE (Nig), FIEAust (Aus), & CPEng (Aus)
Nigeria, blessed with vast mineral resources ranging from gold and tin to limestone and coal, stands at the crossroads of immense opportunity. However, despite this wealth of natural assets, the mining sector in the country has not realized its full potential.
The reason? A critical component remains underdeveloped: infrastructure.
Infrastructure is the backbone of any thriving mining industry, facilitating the smooth and
efficient extraction, transportation, and processing of minerals.
In Nigeria, poor infrastructure has long been a significant barrier to growth, affecting the ease of doing business in the mining sector. For Nigeria to tap into its mineral wealth, strategic investment in infrastructure
is essential. In this article, we will explore the role of infrastructure in shaping the future of
Nigeria’s mining industry and present a roadmap for its development.
Nigeria Mining Corridor and Development
Figure -1- Courtesy- link.springer.com
The Importance of Mining Infrastructure
Mining infrastructure is the network of physical systems and services required to support the exploration, extraction, transportation, and processing of minerals. It includes roads, railways, ports, power supply, water management systems, and communication technologies.
In countries with established mining industries, such as Australia, Canada, and Chile, robust infrastructure is a key enabler of industry success. For Nigeria, developing mining infrastructure presents a clear opportunity to enhance the sector’s productivity, attract foreign investment, and improve competitiveness in the global market.
Map of Nigeria Showing the Transportation System
Figure -2- Courtesy- link.springer.com
Key Infrastructure Challenges Facing Nigeria’s Mining Sector
1. Road Networks and Transport Challenges: Nigeria’s road infrastructure is one of
the most significant constraints for the mining sector. Many mining operations are located in remote regions, far from major highways and urban centers. The lack of
well-maintained roads leads to delays in the transportation of raw materials to processing plants or export ports, thereby increasing operational costs. Poor road conditions also make it difficult for suppliers and contractors to reach mining sites.
Example: The Obu limestone mine in Edo State and the gold mining areas in Zamfara
are both far from key roads and highways, making transportation costs disproportionately high. These logistical inefficiencies hinder the competitiveness of
Nigeria’s mining sector on the global stage.
2. Power Supply and Energy Shortages: Mining operations require a reliable and
consistent energy supply, particularly for ore processing, extraction, and transport.
In Nigeria, erratic power supply remains a major bottleneck. With an unstable power
grid and a reliance on costly diesel generators, the mining sector faces higher
operating costs. Inadequate energy supply limits the productivity of mining operations
and deters foreign investors who might otherwise be interested in Nigeria’s mineral
resources.
Example: The lack of stable electricity has been a significant barrier for processing
plants in the coal mining regions of Enugu and Kogi, where operations are often
forced to rely on expensive backup power solutions.
3. Rail and Port Access: Railways and ports are integral to the exportation of minerals.
Nigeria has vast untapped reserves of minerals such as coal, tin, and limestone that are crucial for the global supply chain, but rail and port infrastructure remains insufficient. While Nigeria’s rail network is being developed under the National Railway Modernization Project, it remains inadequate for the needs of large-scale mining operations.
Example: Nigeria’s coastal ports, including Lagos and Calabar, face congestion, which can delay mineral exports and lead to additional costs for mining companies.
Furthermore, there is a lack of direct rail links from mining regions to the port, making it difficult to transport bulk materials efficiently.
4. Water Supply and Management: Water is a critical resource in mining, not just for processing, but also for cooling machinery and managing waste. In Nigeria, water shortages are prevalent in certain mining regions, while improper water management
practices contribute to the pollution of local water sources. The mining industry must
have access to reliable water supplies, but many areas lack the infrastructure to support this need.
Example: In coal mining regions, particularly in Enugu, water contamination due to
poor mining waste management practices has been a long-standing issue, causing health concerns for surrounding communities.
5. Lack of Modern Communication and Technology: Effective communication
systems are necessary for the management of mining operations, coordination between stakeholders, and the implementation of data-driven decision-making processes. Nigeria’s mining industry lags behind other countries in terms of adopting modern technologies for exploration, mining operations, and logistics. The lack of technological innovation results in inefficiencies and higher operational costs.
Example: In Nigeria, many miners still rely on outdated equipment and manual methods for mineral extraction and processing, which slows down operations and increases costs.
The Way Forward: A Roadmap for Developing Mining Infrastructure
To unlock the full potential of its mining sector, Nigeria must invest in building and
upgrading key infrastructure. The roadmap for Nigeria’s mining infrastructure development should include the following components:
2021 Global Mining Investment of Top 20 Countries
Figure -3 Courtesy Engineering & Mining Journal
1. Developing a National Mining Roadmap: A comprehensive national mining strategy should be developed, with a focus on improving infrastructure. This strategy should prioritize the construction and rehabilitation of roads that connect mining regions to processing facilities, ports, and railways. Special attention should be given to regions with significant untapped resources, such as Zamfara (gold), Enugu (coal), and Kogi (limestone).
2. Power Infrastructure for Mining: Nigeria must prioritize the development of stable
power sources for mining operations. This could include establishing dedicated energy grids for mining towns, integrating renewable energy solutions (such as solar and wind power), and creating incentives for mining companies to invest in selfsustaining energy systems.
Example: The recent growth of solar-powered mining operations in countries like Australia and Chile offers a blueprint for Nigeria to reduce its dependency on the unstable national grid and diesel generators.
3. Improving Rail and Port Connectivity: Rail infrastructure needs to be expanded to ensure that mining operations are directly connected to export ports. The development
of dedicated rail links from mining areas to coastal ports like Lagos, Calabar, and Port
Harcourt would reduce transportation costs and improve the efficiency of mineral exports. Additionally, port infrastructure must be upgraded to handle large volumes of
mining exports.
4. Water Management and Recycling: Nigeria must establish modern water management systems to support mining activities while mitigating the environmental impact. This includes building water treatment facilities, improving water recycling in mining operations, and ensuring proper waste management to prevent contamination of local water resources.
5. Leveraging Technology for Efficiency: The government should encourage the use of modern mining technologies by offering incentives to companies that adopt innovations such as automated machinery, drone surveying, and real-time data analytics. Investment in digital communication systems would also help improve the coordination of mining operations.
6. Public-Private Partnerships (PPP): The Nigerian government should create an enabling environment for public-private partnerships (PPP) to fund and develop the
necessary infrastructure. Through PPPs, both the government and private investors can share the risks and rewards of developing critical infrastructure, particularly in remote and underserved mining regions.
Conclusion
The development of mining infrastructure in Nigeria is not just an opportunity—it is an
urgent necessity. With the right investments in roads, power, rail, and water management,
Nigeria’s mining industry can become a global powerhouse. The government, alongside private sector players, must act decisively to address the infrastructure gaps that are currently hindering growth. By doing so, Nigeria can unlock its full mineral potential, attract foreign investment, create jobs, and stimulate sustainable economic growth for the nation. A strong mining infrastructure is the foundation upon which the future of Nigeria’s mining industry will be built.
Feel free to send your questions to our email at theminersng@gmail.com & reach out to us
with your business enquires on our mobile number +234 906 043 3349.
