Nigeria has announced one of its most significant mining discoveries in decades after confirming the presence of high-grade lithium, rare earth elements and other strategic minerals in Kaduna State, a breakthrough that could strengthen the country’s position in the rapidly expanding global critical minerals market.
The discovery, verified by the Nigerian Geological Survey Agency (NGSA), includes platinum group metals, gold, nickel, copper, lithium and rare earth elements. Minister of Solid Minerals Development Dele Alake described the find as a landmark development that could transform Nigeria into a major destination for strategic mineral investment and industrial development.
The announcement comes at a time when countries around the world are racing to secure supplies of critical minerals used in electric vehicle batteries, renewable energy technologies, semiconductors, defence equipment and advanced manufacturing. As demand continues to rise, resource-rich African countries are increasingly finding themselves at the centre of a global competition for minerals that will shape the future economy.
Unlike previous discoveries that largely focused on raw resource potential, Nigeria is pairing its latest mineral breakthrough with reforms aimed at keeping more value within the country.
The government has introduced new mining regulations requiring companies applying for mining leases to present clear plans for local processing and value addition instead of exporting unprocessed minerals. The policy is designed to encourage refining, manufacturing and industrial development while creating jobs and increasing export earnings. Those reforms are already beginning to reshape investment patterns.
According to Alake, Nigeria has attracted several large-scale processing projects, including an $800 million lithium processing investment, a $600 million lithium processing facility in Nasarawa State, a $200 million lithium refinery near Abuja awaiting commissioning, and a $1 billion iron ore-to-steel project in Kogi State. Together, the projects reflect the government’s strategy of building complete mineral value chains rather than remaining solely an exporter of raw materials.
The latest announcement also coincided with another significant development. Nigerian mining company Steron Mining and Company Limited disclosed that it had identified an estimated 3.3 million metric tonnes of lithium reserves at a separate mining site near Abuja, adding further momentum to the country’s ambitions in the critical minerals sector. The discoveries support a broader transformation taking place within Nigeria’s mining industry.
For decades, Africa’s largest economy relied overwhelmingly on crude oil, while its vast solid mineral resources remained largely underdeveloped. Mining contributed only a small fraction of national output despite the country’s considerable geological potential. Recent reforms under the Federal Ministry of Solid Minerals Development seek to change that by strengthening regulation, attracting investment and expanding domestic mineral processing.
Government data shows revenue generated from the mining sector has risen sharply, increasing from about $4 million before the current reform programme began to more than $25 million in 2024, before surpassing $46 million by the end of 2025. Authorities attribute the growth to tighter regulation, stronger compliance and increased investor interest.
The government says it has revoked more than 3,000 inactive and non-performing mining licences, arguing that the move will improve transparency and ensure mineral assets are developed by companies with both the technical capacity and financial resources to bring projects into production. The Kaduna discovery also reinforces Africa’s growing importance in the global energy transition.
While countries such as the Democratic Republic of Congo dominate cobalt production, Zimbabwe has emerged as Africa’s leading lithium producer, and South Africa remains a major supplier of platinum group metals. Nigeria’s latest discovery could add another significant player to the continent’s expanding portfolio of critical mineral producers.
Whether the discovery ultimately transforms Nigeria’s economy will depend on how quickly exploration moves into commercial production and whether the country can successfully implement its value-addition strategy. If those ambitions are realised, the Kaduna deposits could become more than a geological breakthrough. They could mark a turning point in Nigeria’s effort to build a mining industry that generates jobs, attracts manufacturing, expands exports and reduces the country’s long-standing dependence on oil.