From Charity Nwakaudu, Abuja
The Federal government has said that the development of mining sector is based on the transparency of the mining licence.
Director General of the Nigeria Mining Cadastre Office, NMCO, stated this at the second day of the ongoing mining week holding in Abuja.
According to Nkom once Nigeria get it right in mining title administration it will boost the economy and will also entice more investments locally and globally.
“If licensing is not transparent enough, then there is no way it will be able actually attract the needed investment, particularly in the sector. And as long as we get it wrong in the mining, title administration, then it becomes a big problem” Nkom added.
“But as it relates to mining licenses, nation’s Transparency Initiative, we work very closely with them because once title administration, like I said, is not transparent then there’s no way people will be able to come and invest, At the same time. There is the concept of people having licenses or not actually using it”
The NMCO boss further explained that the government has established laws on license withdrawals.
“There are two ways you can lose a license, first of all, non payment of one or service fees. And the second one is dormant activities in addition to other obligations which is spelled out clearly in the app. That is why one of our key principles in the mining cadastre “Is use it or you lose it” because at the end of the day, if you don’t use the license, you lose it” Nkom stressed.
“The most important thing at the end of the day is that we need to be able to open up the minds of people who are holding licenses and lack the technical capability or they had plans when I say luck is a precondition for granting a license or you may have your own plans.
“After six months or one year you’ll find out that they needed financial funding, whatever support you couldn’t get it. So at the end of the day, it affects your activity and you have no option but to be able to now actually”
He emphasized that the mining Cadastre office is operating the EMC plus an online for transparency.
“What I see in the mining industry is what you see even in your phones or even back in Canada or anywhere in the world. And as such, once you are able to now have that system in place, which is one of its kind is going to boost investments in the sector” Nkom added.
Speaking on the benefits of the mining week to the stakeholders, he noted that the event would provide an avenue for investors to interact and showcase their potential for both local and international investors.