Lagos Gold Refinery Did Not Breach Federal Character Principle – Federal Government

The Federal Government, through the Ministry of Solid Minerals Development, has dismissed claims by the Northern Elders Forum (NEF) that the siting of a gold refinery in Lagos violated the federal character principle.

The Federal Government, through the Ministry of Solid Minerals Development, has dismissed claims by the Northern Elders Forum (NEF) that the siting of a gold refinery in Lagos violated the federal character principle.

The clarification was contained in a statement issued on Sunday in Abuja by Segun Tomori, Special Assistant on Media to the Minister of Solid Minerals Development, Dr Dele Alake.

According to the ministry, the allegation stemmed from a misrepresentation of comments made by the minister on the planned inauguration of a gold refinery project and ongoing reforms in the solid minerals sector.

The ministry stressed that the Federal Government neither owns nor established a gold refinery in Lagos or in any other part of the country, noting that the project referenced by the NEF is a private sector initiative.

“There was nowhere in the minister’s announcement where it was stated that the Federal Government owned or established a gold refinery in Lagos or elsewhere,” Tomori said. “Dr Alake clearly stated that several gold refineries are in the works across the country and that they are privately owned by different companies.”

He explained that the Lagos refinery is a private initiative of Kian Smith, a wholly privately owned mining company established to support the development of Nigeria’s local gold industry.

Tomori further noted that the Federal Government does not determine where private companies locate their investments, as such decisions are driven by commercial and operational considerations.

The ministry urged the public to distinguish between government projects and private sector investments, reiterating its commitment to creating an enabling environment for solid minerals development across all regions of the country.

It also acknowledged the perseverance and leadership of the company’s founder and Managing Director, Ms Nere Emiko, describing the refinery as a flagship project that aligns with the government’s value-addition policy aimed at discouraging the export of raw minerals and promoting local processing and manufacturing.

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