Nigeria will commission two major lithium processing plants this year, as part of its drive to shift from raw mineral exports to local value addition, Mining Minister Dele Alake announced on Sunday.
The $600 million and $200 million facilities near the Kaduna-Niger border and on the outskirts of Abuja respectively are being developed with significant backing from Chinese investors. Two more plants are expected to follow in Nasarawa State by the third quarter of 2025.
“We are now focused on turning our mineral wealth into domestic economic value — jobs, technology, and manufacturing,” said Alake.
More than 80% of the funding for the four plants comes from Chinese firms such as Jiuling Lithium Mining Company and Canmax Technologies, while Nigerian company Three Crown Mines holds minority stakes.
The development follows a 2022 survey by the Nigerian Geological Survey Agency that identified large deposits of high-grade lithium in at least six states, drawing global attention and investment.
Lithium, a key component in batteries for electric vehicles and renewable energy storage, is central to Nigeria’s ambition to boost its mining sector, which currently contributes less than 1% to the country’s GDP.
Other key reforms include banning the export of unprocessed minerals, formalising the largely informal artisanal mining sector, and establishing a national mining company that allows investors to own up to 75% equity.
These steps are part of broader efforts to diversify Nigeria’s economy and leverage its rich natural resources for industrial and technological advancement.
