Nigeria’s gold sector is experiencing a modern-day gold rush. With vast, untapped deposits and a clear government strategy to formalize the industry, gold mining has become a top-tier investment opportunity. But for every serious investor, there are countless pitfalls and risks.
This guide provides a comprehensive, no-nonsense look at gold in Nigeria, from its geological origins to the specific legal and regulatory steps required to mine and export it. It is your essential handbook for turning Nigeria’s glittering potential into a profitable reality.
1. Where to Find Gold in Nigeria: The Geological Hotspots
Gold in Nigeria is primarily found in two main forms: placer deposits and primary vein deposits, concentrated within the country’s extensive schist belts.
- Placer Deposits: This is the most common and accessible form of gold, found in alluvial and eluvial placers within riverbeds and weathered soils. It is the primary target for artisanal and small-scale miners. Key hotspots include:
- Zamfara State: Widely considered Nigeria’s “gold belt,” with high-yield areas in Maru and Anka Local Government Areas.
- Osun State: Home to the Ilesha Goldfield, where both artisanal and semi-mechanized mining has been active for decades.
- Niger State: Known for rich alluvial deposits in areas like Gurara, Paiko, and Kagara.
- Kebbi and Kwara States: Emerging hotspots with significant deposits along the Sokoto River in Kebbi and in areas like Malete in Kwara.
- Primary Vein Deposits: This type of gold is encased in quartz veins and is typically extracted through hard rock mining. It is the target for large-scale, capital-intensive operations. Key locations include:
- Kaduna State: Birnin Gwari is a significant gold mining area with proven reefs and grades ranging from 5 to 100 g/t Au.
- Niger State: The Gurmana area is a key location for quartz-sulphide veins.
- Osun State: The Iperindo area is known for its lode gold deposits.
This level of detailed, location-specific information is what sets a project apart. To get a complete, authoritative map of all gold deposits in Nigeria, our ebook, Gold Map: The Ultimate Guide to Gold Deposits in Nigeria, is an indispensable resource for any serious prospector or investor.
2. The Legal Path to Mining Gold: Licenses & Permits
Gold mining is highly regulated. Any legal operation, regardless of its scale, must secure the appropriate mineral title from the Nigerian Mining Cadastre Office (MCO).
- For Small-Scale Miners: A Small-Scale Mining Lease is required.
- For Large-Scale Investors: An Exploration License is the first step, followed by a full Mining Lease after a successful exploration program and a bankable feasibility study.
Beyond the license, a legal miner must also comply with the Nigerian Minerals and Mining Act, 2007. This includes a mandatory Environmental Impact Assessment (EIA) to mitigate the health and environmental risks associated with gold mining, such as lead and mercury poisoning. The government is actively formalizing the sector to ensure safer and more ethical mining practices.
Our ebook, Finding Gold in Nigeria: A Practical Guide for Landowners, Investors, and Prospectors, provides a practical roadmap for prospecting, land acquisition, and engaging with the legal process to ensure your gold venture is built on a solid foundation.
3. The Definitive Guide to Gold Export from Nigeria
In a game-changing move, the Central Bank of Nigeria (CBN) has established itself as an off-taker for legally mined gold in Nigeria under the National Gold Purchase Program. This is a major development that completely simplifies the export process for licensed miners.
- The Process: A licensed gold miner or trader sells their refined gold to the CBN in Naira. The CBN then pays a negotiated price in US Dollars, effectively turning your local gold into foreign exchange, which can be repatriated to your account.
- The Rationale: The government’s goal is to boost foreign reserves and combat the widespread illegal smuggling of gold, which has cost the country billions of dollars.
This policy creates a clear, legal, and profitable export channel that is secure and fully backed by the Nigerian government. Your job is to focus on legally mining the gold; the government will buy it from you.
If you are a serious investor who wants to move quickly and avoid the hidden costs of navigating this complex process, our Mining & Mineral Trading Company Setup (Nigeria) service is a done-for-you solution that handles every aspect of your legal and regulatory setup, saving you time and money.
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