Nasarawa State Governor, Abdullahi Sule, has said that lithium mining is driving a new wave of industrial growth in the state, describing the mineral as ?the gold of today? and a key pillar of Nigeria?s economic diversification.

Speaking in an interview with ARISE News on Monday, Governor Sule said his administration has made it mandatory for all lithium miners to process the mineral locally before export ? a policy that has attracted massive investments and boosted job creation.

?Lithium is the gold of today because of its importance in the global energy transition,? he said. ?In Nasarawa, we insisted that anyone mining lithium must also process it here. That?s why we established policies requiring local processing before export.?

According to him, the policy led to the establishment of Avatar, Nigeria?s biggest lithium processing company, which currently produces about 3,000 metric tonnes daily. He added that Chinese investors, impressed by Nasarawa?s potential, have committed $200 million to build another processing plant, already completed and awaiting commissioning by President Bola Tinubu.

Governor Sule revealed that Nasarawa now hosts four major lithium processing plants?two in Awe Local Government and two in Kokona?alongside several smaller operators engaged in beneficiation and value addition.

Addressing claims of a revenue windfall for states, Governor Sule acknowledged that allocations have increased but maintained that Nasarawa is deploying the funds transparently and prudently.

?There?s no doubt we?ve seen increased revenue. Before 2023, we used to share around N600 billion nationally; today, it?s over N2 trillion,? he said.

?Of that, 52% goes to the federal government, 24% to the states, and 20% to the local governments.?

He explained that Nasarawa?s approach is to involve key stakeholders in budgeting and project planning.

?Every improvement in revenue is discussed openly. We?ve promoted staff for the first time in nine years, upgraded hospitals with CT scans and other machines, and built infrastructure ? all without borrowing,? he said.

?Every project you see, from roads to agriculture, we?re funding 100% with our own resources. We even have savings now.?

Governor Sule attributed Nasarawa?s stability to deliberate community engagement and collaboration with security agencies, especially in previously volatile mining zones.

?The two major lithium sites used to be bandit zones. Today, there?s not one bandit there,? he said. ?We invited communities, traditional rulers, and security agencies, and established a military super camp in the area. With federal and state support, banditry is gone.?

He added that locals now fill most of the jobs in the mining companies, while farmer-herder clashes and Boko Haram elements once present in the state ?have been completely wiped out.?

Governor Sule said the total lithium investment in Nasarawa has reached $850 million, structured to benefit both the state and host communities.

?When the new company came, we negotiated a partnership between the state, the company, and the communities,? he said. ?They paid a $1.5 million signature bonus ? $1 million went to the state, N800 million was dedicated to the host communities.?

He explained that the funds were managed by a committee of traditional rulers and government officials to provide boreholes, solar lights, and a community hall, while the company also sponsors scholarships for young people to study mining technology in China.

Governor Sule noted that Nasarawa?s strong transparency and disclosure practices have earned it top ratings from the World Bank.

?We are among the top three states rated by the World Bank for transparency,? he said. ?When we came in 2019, our internally generated revenue was ?7 billion; today, it?s over N30 billion. We publish both federal allocations and IGR, and that?s why we continue to receive World Bank support.?

On national economic issues, Governor Sule ? a former Group Managing Director at Dangote Sugar Refinery ? commented on the federal government?s new 15% tariff on imported petroleum products.

?Every time you have a VAT or tariff increase, it?s passed to consumers,? he said. ?But since the Dangote Refinery began operations, fuel prices have been dropping, so the impact of the 15% tax will reduce as prices fall.?

He noted that oil prices are determined by international markets, not by local policies, adding that ?it?s not a crisis ? just part of global business dynamics that will stabilise naturally.? (AriseNews TV)

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