News
Reduced litigations, digitization lift Mining office revenue to N6.95bn in Q1–PS
Nigeria’s Mining Cadastre Office MCO which recently declared revenue in excess of N6.95 billion in the first quarter of 2025, has attributed the feat to the digitization of its systems, transparency and reduced litigations. Director General of the agency, Engineer Obadiah Simon-Nkom in an interview with newsmen said the development was also buoyed by the introduction of sweeping reforms, digital transformation and strategic licensing practices. According to him, the implementation of a fully digitized licensing platform, EMC+, operational since November 2022 and now serves as the sole channel for all mineral title applications and transactions in Nigeria, assisted in scaling up the agency’s revenue.
“The only channel for submission is the EMC+ system. It is completely online – transparent, efficient, and real-time,” he said. Simon-Nkom said the efforts are part of broader reforms inspired by the 7-point agenda of the Minister of Solid Minerals Development, Mr Dele Alake. He said the agenda aim at curbing illegal mining, enhancing investor confidence, and sanitizing the sector. “We are no longer just hopeful. We are witnessing the realization of a vision that is transforming Nigeria’s mining industry,” he noted. The DG added that the agency has moved from its outdated polygon-based licensing to a modern, web-based electronic mining cadastre system which tracks every stage of the application process, thereby improving transparency and reducing the tendency for human manipulation.
“What we see here in Abuja, applicants can see from anywhere in the world. The MCO works closely with agencies such as the ICPC, EFCC, DSS, NFIU, NEITI, and Civil Defence. The ICPC has recently cleared the office of compliance concerns and commended its digitization efforts. The NFIU, in particular, sees licensing agencies like the MCO as critical to Nigeria’s efforts to exit the global Financial Action Task Force FATF Grey List”, he added. On how the MCO increased its revenue, the DG said it was driven by system-governed fees such as annual service fees, processing charges, late renewal penalties, and search/certification charges. “Out of 955 applications received in Q1, 651 were for exploration licenses—an expected trend given exploration’s role as the foundation for viable mining projects. The principle remains, ‘Use it or lose it.’ We are no longer in an era where people hoard vast mineral-rich lands without development. If the deposit is not economically viable, surrender the title and move on,” Simon-Nkom emphasized. According to the DG, the agency has also recalibrated land charges to match usage realities, noting that licence fees are no longer arbitrary.
“If you want to hold 200 square kilometres, you’ll now pay proportionately. No more paying the same fee as someone holding 20 square kilometres. 152 license modifications were processed in Q1, covering mineral changes, relinquishments, transfers, and renewals. This process has become a strategic tool to streamline the licensing system, encourage operational mines, and weed out speculators. In line with international practices, the MCO is also reviewing policy frameworks to mandate partial relinquishment of land after the first renewal, a move meant to optimize land utilization and increase access for serious investors”, he added. Apart from establishing zonal offices to decentralize its processes, the MCO has also been playing a quasi-adjudicatory role in cases of land disputes and community-related mining issues. While that has helped to de-escalate potential litigation and keep the sector moving forward, Mr Simon-Nkom said the MCO has maintained a 100 percent litigation success rate due to its strict adherence to the law and its conflict resolution mechanism. “Even where we have made mistakes, we correct them in line with the law. That is why litigants often return to settle out of court”
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