Nigeria has signed a landmark $1.3 billion investment deal with Africa Finance Corporation (AFC) to build an alumina refinery and fund nationwide mineral exploration, aiming to boost mining revenue and reduce reliance on oil.
The agreement, signed through the Solid Minerals Development Fund, will see the construction of a refinery processing 1 million metric tons of bauxite annually, producing 19 million tons of alumina over 20 years.
The refinery will be powered by a gas-fired energy plant, contributing $1.2 billion to GDP annually and generating $8 billion in foreign exchange earnings.
A comprehensive geoscience mapping exercise will generate reliable data on Nigeria’s mineral resources, supporting exploration and investment.
A joint strategic investment vehicle will accelerate exploration and development of identified assets.
Mines Minister Dele Alake described the deal as a “landmark” that will transform the mining sector and increase its contribution to Nigeria’s GDP.
The project is expected to create jobs, stimulate economic growth, and position Nigeria as a globally competitive mining destination.
