Nigeria and US Team Up for Investment in Mineral Resources

Nigeria and the United States have signed a framework to bring American investment into Nigeria’s mineral resources, which are worth about $700 billion.

The agreement was signed by Nigeria’s Minister of Solid Minerals Development, Dele Alake, and the US Deputy Secretary of State, Christopher Landau, on Wednesday at Nigeria’s Mission House in New York.

Kehinde Bamigbetan, Special Adviser to the Minister of Solid Minerals Development, shared that the signing happened during the 81st United Nations General Assembly.

This framework aims to build on the relationship between Nigeria and the US to promote business-to-business deals and investments throughout Nigeria’s mineral value chain.

It includes cooperation in areas like geological data, mineral development and processing, infrastructure, and technical skills.

At the signing event, Mr Alake noted that this agreement marks a shift from Nigeria just exporting raw minerals to adding more value at home.

"Some agreements manage the present, and some agreements shape the future. The framework we sign today belongs to the second kind," Mr Alake stated.

He emphasized that both Nigeria and the US believe that the supply chains for important minerals need to be secure and strong, backed by responsible investments.

"But let me be clear about Nigeria’s ambition. We are not here to remain a source of raw material for the values that others create. Our goal is to turn potential into lasting value at home through stronger local processing, new skills, quality jobs, and new opportunities for Nigerian businesses," he said.

Mr Alake explained that this framework would help both countries work together on exploration, mineral development, processing, infrastructure, and technical capacity.

He mentioned that putting the agreement into action would support President Bola Tinubu’s plans for economic diversification and boost industrial growth.

However, Mr Alake pointed out that signing the agreement is just the start of the journey.

"Now comes the harder and more important work: moving from agreement to implementation. A signature is a promise, results are the proof," he said.

He added that Nigeria will soon find viable projects, attract investments, and create commercial partnerships that will benefit both countries.

Mr Landau stated that the US sees Nigeria as a key partner, calling it a regional power due to its large population and economic influence.

He mentioned that this agreement would open doors for more prosperity in both nations and confirmed the US's commitment to supporting Nigeria’s economic growth.

"The signal we are sending is that the United States and Nigeria are partners," he said.

Mr Landau also noted that the two countries have started several initiatives under Presidents Donald Trump and Bola Tinubu in the last one and a half years, and Washington wants to continue building on that progress.

Lagos State Governor Babajide Sanwo-Olu attended the signing with other officials, including the Permanent Secretary of the Ministry of Solid Minerals Development, Yusuf Yabo, and others.

Governor Sanwo-Olu later shared on X that he was present when Nigeria and the US signed this important framework for investment in the mining sector.

"The focus of the framework is to move beyond simply exporting raw materials by building a stronger local value chain through processing, exploration, better infrastructure, and technical capacity.

"This will help us turn Nigeria’s mineral wealth into lasting growth and support President Bola Ahmed Tinubu’s Renewed Hope Agenda to diversify our economy."

He remarked that this initiative could turn Nigeria’s mineral resources into economic opportunities and support the federal government’s efforts to diversify the economy.