By Fatima Saka
The Federal Government has reaffirmed its commitment to aligning state governments’ engagement with mining operators to attract investment and strengthen the nation’s mining sector.
Minister of Solid Minerals Development, Dr. Dele Alake, made this known on Tuesday during a mediation meeting with Osun State Governor, Ademola Adeleke, and representatives of Segilola Resources Operating Limited (SROL) at his office in Abuja.
Emphasizing the central role of solid minerals in the Federal Government’s economic diversification agenda, Alake warned that conflicting policies and strained relationships between operators and state governments could undermine progress in the sector.
“In a business environment with multiple regulatory authorities, foreign investors are discouraged,” he noted.
The minister urged an amicable resolution to the dispute between Osun State and SROL, stressing that a stable and business-friendly climate would not only attract foreign direct investment (FDI) but also boost state revenue.
“Investors prefer countries where regulations are clear, streamlined, and consistent. While solid minerals fall under the exclusive purview of the Federal Government, conflicting directives from sub-national governments deter the critical investments needed to grow the sector,” Alake added.
Governor Adeleke, appreciating the minister’s intervention, reaffirmed his administration’s commitment to enhancing the ease of doing business while upholding ethical standards. He expressed readiness to reach a compromise with SROL to ensure smooth mining operations in Osun State.
In his presentation, the Special Adviser to the Governor on Mining and Mineral Resources, Prof. Lukman Jimoda, outlined key issues fueling the dispute. These include contested tax claims—particularly Pay As You Earn (PAYE), the state’s shareholding in the company, environmental concerns, and broader economic benefits Osun should derive from Segilola’s operations.
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A key moment of the meeting was the presentation of Osun State’s shareholding certificate to Governor Adeleke by Segilola Resources Limited.
The meeting was attended by Governor Adeleke, Prof. Jimoda, the Special Adviser to the Governor on Media and Publicity, Olawale Rasheed, and other state officials. SROL was represented by its MD/CEO, Segun Lawson; Country Director, Austin Menegbo; and Non-Executive Directors, Folorunsho Adeoye and Kayode Aderinokun.
