FG sets Dec 31 deadline for mining firms to seal host community pacts

The federal government has directed mining and quarrying companies licensed by the Nigerian Mining Cadastral Office (MCO) to finalise community development agreements (CDAs) with their host communities by December 31, 2025.

Dele Alake, minister of solid minerals development, announced the deadline following a review of companies’ performance on CDAs in the first half of the year, based on a report from the mines environmental compliance (MEC) department.

The report revealed that while 74 new mineral titles were issued in the first six months of 2025, only 24 CDAs were signed.

The report added that in 2023, the MCO issued 960 small-scale mineral licences, 391 quarry licences, and 37 mining leases — a total of 1,388 titles required to sign CDAs before commencing extraction.

The previous year saw 954 mineral titles issued, with owners legally obliged to engage communities and sign CDAs.

Alake highlighted the significant gap between the thousands of mineral titles granted and the mere 342 CDAs signed so far, stressing the urgent need for compliance.

“Responsible mining, marked by adherence to international Environmental, Social and Governance standards, shall be the rule under our watch,” he said.

“Companies must not rush to mine without first agreeing with host communities on projects and programmes that address their needs.

“We have revoked titles of companies that failed to pay annual service fees. Refusing to protect Nigerian communities by neglecting CDA agreements amounts to criminal expropriation and injustice.

“Companies found guilty after this deadline will face licence revocation and reparations for minerals extracted.”

The minister urged communities to form quality negotiation teams, including retired professionals, to secure lasting benefits for youth, women, and the wider community.

He cautioned community leaders and traditional rulers against demanding personal gifts or endorsing substandard contractors during CDA negotiations.

Alake also commended Vivian Okono, the MEC director, for shutting down three companies — Istanbul, Venus, and Cornerstone — last month for delaying CDA negotiations with host communities.