Minister of Solid Minerals Development, Dele Alake, has set up a fact-finding team to address the ongoing conflict between the Osun State government and Segilola Resources Operating Limited.
Gatekeepers News reports that this committee was established following the sealing of the gold mining company, which was accused of tax evasion and other infractions by the Osun State government.
The Federal High Court in Abuja has granted an Interim Injunction in favour of Segilola Resources Operating Limited, restraining the Osun State Government from interfering with the company’s mining operations.
The Federal Government has also established a fact-finding committee to investigate the circumstances surrounding the sealing of the mine site.
During a press briefing on Thursday in Abuja, Alake reaffirmed the Federal Government’s stance that mining falls under the exclusive legislative list.
“I’d like to reaffirm our position that though mining companies must obey all laws and regulations guiding their operations such as payment of taxes, environmental regulations, and Corporate Social Responsibility (CSR) amongst others, it is our firm belief that sub-national authorities do not possess the power to arbitrarily shut down mining operations because the mining of liquid or solid minerals belongs in the exclusive list, within the purview of the Federal Government, to regulate, legislate and direct”, the minister asserted.
In her remarks, the Permanent Secretary, Dr Mary Ogbe urged states to cooperate with the Federal Government to avoid disruptions in mining operations, emphasising that such actions send wrong signals to prospective investors and can be a disincentive to the needed Foreign Direct Investment (FDI) required to develop the sector.
The probe panel has seven (7) days to submit its report.
Segilola Resources is Nigeria’s first commercial gold mine and is considered one of the country’s most successful mining ventures. The company has stated its commitment to complying with regulations and upholding its responsibilities as a law-abiding corporate entity.
