Solid Minerals Revenue Hits N58.6bn, Surges Over 54% Above 2024 Collection 

Emmanuel Addeh in Abuja

Revenue collections from Nigeria’s solid minerals sector paid into the Federation Account climbed to N58.64 billion in the first 10 months of 2025, already exceeding the entire N38 billion realised in the whole of last year by a wide margin.

Data from the Federation Accounts Allocation Committee (FAAC) covering January to October 2025, showed that the Central Bank of Nigeria (CBN) received a cumulative N58,644,396,757.16 from solid minerals revenue.

Compared with the roughly N38 billion recorded for the full 12 months of 2024, the current year-to-date figure represents an increase of about N20.6 billion, or approximately 54 per cent, with two months of the year still outstanding.

Although the sector continues to underperform, given its enormous potential, the scale of the improvement places the solid minerals sector among the fastest-growing non-oil revenue contributors in 2025.

In October, at the 10th edition of Nigeria Mining Week 2025, President Bola Tinubu confirmed that the solid minerals sector generated over N38 billion in revenue in 2024, up from the meagre N6 billion it generated the previous year, 2023.

The President credited the feat to the administration’s ‘bold steps’ to reform the solid minerals sector, now led by Dele Alake, making it a new engine of growth through improved policy and oversight.

A month-by-month breakdown of the FAAC figures seen by THISDAY showed that collections have been relatively consistent, with notable spikes at different points in the year. January opened with N4.18 billion, setting a solid base for the year. February followed closely with N3.78 billion, while March dipped to N2.15 billion, reflecting seasonal and operational fluctuations common in extractive activity.

April marked a significant jump to N7.88 billion, one of the strongest monthly performances of the year. This momentum softened slightly in May, when collections stood at N9.66 billion, still among the highest monthly inflows recorded so far. June brought in N4.75 billion, while July delivered N5.84 billion, pointing to a stabilisation in mid-year receipts.

Besides, August recorded N6.23 billion, and September followed with N7.32 billion, reinforcing the upward trend heading into the final quarter. October collections stood at N6.86 billion, according to the Ministry of Solid Minerals Development’s schedule of actual revenue paid into the Federation Account.

According to the document, within the October figure, royalty payments accounted for N2.99 billion, while fees contributed N3.87 billion. The ministry reported a positive variance of N3.78 billion when October collections were measured against the monthly target, underscoring improved compliance and enforcement outcomes.

However, October revenue was about N466.7 million lower than September’s intake, a month-on-month decline of roughly 6 per cent, highlighting the volatility that still characterises the sector.

Despite this marginal monthly drop, the broader picture remained strongly positive, the November FAAC document showed, at N58.64 billion after 10 months, with average monthly collections running at about N5.86 billion.

If the pace is maintained through November and December, full-year revenue could approach or even exceed N70 billion, a THISDAY analysis indicated, which would represent an increase of over 80 per cent compared with the N38 billion recorded in 2024, marking a structural shift in the sector’s contribution to national revenue.

Even under a more conservative scenario, where collections in the final two months moderate, the sector is still on course to close 2025 comfortably above N60 billion, consolidating the gains already achieved.

The FAAC figures lend weight to the argument that solid minerals can play a more meaningful role in stabilising public finances, especially at a time when oil revenues remain vulnerable to price swings, production disruptions and energy transition pressures.

With global demand rising for minerals used in construction, manufacturing and clean energy technologies, Nigeria’s largely untapped reserves present both an economic opportunity and a fiscal buffer.

But challenges, including deep-rooted structural, regulatory and market issues that have limited the sector’s contribution to economic growth and public revenue, remain.

Some central problems include:  Widespread illegal and informal mining; weak enforcement capacity; policy inconsistency and regulatory uncertainty as well as infrastructure deficit; limited access to finance, among others.