Reps threaten to revoke Chinese firm’s license over mining violations

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The House of Representatives Committee on Solid Minerals has voiced strong disapproval over widespread legal breaches by numerous mining firms operating in Nigeria, with particular focus on companies owned by Chinese nationals.

This condemnation forms part of the committee’s ongoing probe into illicit and unregulated mining activities across the country.

Lawmakers criticized the persistent absence of company leaders from legislative summons and warned that failure to comply could result in the suspension or complete revocation of operating licenses.

At a session held in Abuja’s National Assembly, the Committee Chairman took a hard stance against the operations of various mining companies, describing them as “commotious” and calling out the refusal of top executives, often residing in China, to engage with Nigerian authorities.

“We were quite taken aback by the brazen disregard for our laws. Most of these companies, especially Chinese-owned ones, have refused to appear before the Parliament of the Federal Republic of Nigeria. It is unacceptable that their managing directors reside in China while only technical staff manage operations here,” the chairman stated.

A number of companies were publicly named for failing to comply with legislative invitations.

These include Arab Contractors, Selsing Stone Limited, Homerset, Kaji Investments, Zeyin Jinja Investment Limited, Hasba Group of Companies, Viva Mines, Venus Mining Company, Tim Cornerstone, and Inorganic Earth (Saigon’s Investment Limited).

The committee issued a stern ultimatum, stating that any company that fails to respond to summons before the end of the current hearing phase will face recommendations for license suspension, or possibly outright cancellation.

“No amount of foreign direct investment justifies flouting Nigerian laws or endangering the welfare of our people,” the chairman emphasized.

In the course of their oversight, lawmakers exposed major regulatory oversights, such as the lack of:

Environmental and Social Impact Assessments

Community Development Agreements

Environmental Protection and Rehabilitation Plans

Site inspections further revealed shocking environmental damage and neglect of local host communities, prompting alarm among committee members.

During the session, Vivian Okono, Director of the Mining and Environmental Control Department, acknowledged the scale of the compliance issues, revealing that conditions were “abysmally low” when she took office in March 2022.

However, she affirmed that new guidelines rolled out in November 2023 are now being enforced to improve accountability and community engagement.

“Chapter 3 of the revised guidelines mandates detailed consultations with local leaders and impacted communities. Mining companies must identify community needs and agree on development projects, such as roads, schools, and hospitals, before commencing operations,” Okono explained.

She further stressed the importance of ensuring that natural resource exploitation benefits communities rather than harming them, assuring lawmakers that ongoing reforms are beginning to have an effect.

The committee pledged to collaborate with the Ministry of Solid Minerals to ensure swift enforcement of the law against erring operators.

“This House will not condone lawlessness in the name of investment. We will uphold the dignity of our laws and protect the welfare of our people,” the committee chairman declared.

As the investigation progresses, more companies are expected to be summoned for questioning.

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