Diplomatist Special Report Nigeria | Page 28

[SPECIAL REPORT] Bitumen: In Nigeria, bitumen typically occurs both h on the surface and sub-surface. The estimated probable reserves of bitumen in Ondo State (south-west region of Nigeria) are 16 billion barrels, while that of tar sands and heavy oil is estimated at 42 billion barrels. The probable reserve of bitumen and heavy oil in the entire tar sand belt is expected to double the reserves in Ondo State. The bitumen belt has been marked into six blocks with an n average of 600 square km each, four of which have been sold old to investors. The remaining two blocks are to be placed for bidding in future. Currently, the bitumen used in Nigeria is processed from imported heavy crudes, in addition to bitumen imported to supplement local consumption. Heavy and extra heavy crude can be extracted from Nigerian tar sands, and sulphur and phenol can be derived from these crude grades. They are also suitable for the production of lubricants for plain and roller bearings. Limestone: The largest and purest deposits of limestone are found in the south-west and middle belt regions of the country. Limestone in the south- west region of Nigeria has been estimated at 31 million tonnes. Most limestone mining activities are mainly for cement production. Rich ore constitutes more than 4.5 percent of the total reserves, with medium grades estimated at 85.4 percent and lean ore at 13.1 percent. Although Nigeria has about 52 mineral resources across the country, limestone is estimated to be responsible for about 52 percent of solid mineral production. This is as a result of the thriving cement manufacturing industry in Nigeria. Barites: In a survey carried out by the Nigerian Geological Survey Agency, proven reserves for Benue and Nasarawa States (central region of Nigeria) have been estimated at 111,000 metric tons while the estimated probable (unproven) reserves across the country, where mining is considered viable, is estimated at 21,123,913 metric tons. Barite is suitable for glass, paint, and paper making. It is also used in petroleum well drilling. 28 • Nigeria-India• 2018 Lead-Zin Lead-Zinc: Lead-Zinc ores are usua usually found together. They are of often associated with copper and silver. Lead-Zinc is found in the north-east and south-west. They occur in commercial quantities in the north- eastern and central region o of Nigeria. The estimated reserve is well over 100,000 tons of lead and 80,000 tons of zinc. Lead-zinc ores are used in the production of batteries, electrical cables, solders glass, and even protective coatings for other metals. Gold: Gold is associated with the north-west, central and south-west regions of Nigeria, although there are smaller occurrences beyond these major areas. The preliminary exploration and identifi cation of deposits which is still ongoing has confi rmed ten sites to be holding reserves of over 50,000 ounces of high quality gold. Till date, over 30 licenses have been issued to co-operative societies and companies for mining of gold in the country. Most of the concessions are still at the exploration stage. Processing There are a great number of investment opportunities in the processing of solid minerals in Nigeria. The lack of processing facilities in Nigeria is a situation that can be leveraged on by investors. Equipment Sales and Rental As the mining industry in Nigeria is a growth industry, there is going to be an increased demand for the requisite equipment. There are currently very few players in this space, and this presents an opportunity to investors. Mineral Ore Sales There is a ready local and international market for mineral ores. The international market is mostly controlled by China, and can yield high profi ts for an investor. Consultancy There are also opportunities for professionals with acquired expertise in the mining industry. Services like geological survey, preparation of feasibility study, securing mining sites and license, equipment procurement, sethe curing export contract, among others, can be rendered in the industry. There are also opportunities for business consulting and advisory services. Source: https://www.nipc.gov.ng/solid-minerals/