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The Minister of Solid Minerals Development, Dele Alake, has directed all mining and quarrying companies to sign Community Development Agreements (CDAs) with their host communities by December 31 or risk losing their licenses.
The directive follows a review by the Mining Cadastre Office (MCO) and the Mines Environmental Compliance (MEC) Department, which showed poor compliance among operators. According to findings, only 24 of the 74 new mineral titles issued in the first half of 2025 had signed CDAs.
A further breakdown revealed that in 2023, the MCO issued 1,388 titles including 960 Small-Scale Mining Licenses, 391 Quarry Licenses, and 37 Mining Leases. However, only 342 CDAs were recorded.
Dr. Alake expressed concern over the wide gap between the number of licenses issued and the low level of community agreements, stressing that signing a CDA is a mandatory prerequisite before mineral extraction can commence.
He urged communities to establish negotiation teams made up of retired professionals who can secure meaningful, long-term projects and programs that benefit youth, women, and the wider community. He also cautioned traditional rulers and community leaders against undermining the process by demanding personal favors or recommending unqualified contractors who deliver poor-quality projects.
The minister commended the Mines Environmental Compliance director, Dr. Vivian Okono, for shutting down three non-compliant firms Istanbul, Venus, and Cornerstone last month after they delayed CDA negotiations with their host communities.