By Abubakar Yunusa Ojima-ojo
The General Manager and Chief Operating Officer of Nichi Mine Limited, Dr Hassan Kabir Yaradua, has said the company is scaling up its African operations to produce up to 120,000 tons of lithium monthly for leading global battery manufacturers.
Yaradua disclosed this on Thursday in Abuja during the one-year anniversary celebration of Nichi Mine Limited, a subsidiary of Nichima Subser, an American-Korean mining company recently domesticated in Africa.
He said the firm’s long-term strategy was not limited to raw mineral extraction but focused on building the entire value chain for lithium, rutile fluoride and other strategic minerals.
According to him, operating in Africa has been both challenging and promising, noting that regulatory frameworks and operational systems differ significantly from international best practices.
“The regulatory space and government support are not always what we expect, but we have pushed hard and we believe we will soon get there,” Yaradua said.
He expressed concern over the introduction of new tax laws, which he said would further increase the already high cost of mining operations.
Yaradua argued that mining companies deserved tax reliefs or exemptions, stressing that licence acquisition and renewal costs had become “too huge to manage”.
“As it is now, mining companies are running on very high expenses. Government needs to provide breathing space for the sector, especially as it is being considered as an alternative source of wealth beyond oil,” he said.
He said Nichi Mine adopted joint venture arrangements with state governments and private firms to manage risks and align international standards with local practices.
The company, he disclosed, had entered joint ventures with several state governments, including Bauchi, Benue and Kaduna, with others such as Katsina, Kebbi, Anambra and Cross River in the pipeline.
Yaradua added that private sector partnerships involved local mining firms such as Firec International and Greencou.
Outlining the company’s production roadmap, he said Nichi Mine planned to achieve 1,500 tons of lithium beneficiation per day and refine about 2,000 tons of lithium carbonate by the end of 2026 through a partnership with Genti.
He further revealed that by 2027, the company aimed to begin assembling electric vehicle battery components in collaboration with Hyundai.
Despite the ambitious plans, Yaradua admitted that regulatory uncertainty and financing remained major hurdles, particularly the high cost of mineral exploration.
“You can spend between $2m and $3m on exploration and end up facing restrictions or losing access to the site. It is a long and very expensive endeavour,” he said.
He, however, expressed optimism that government pronouncements on positioning the mining sector as a key driver of wealth creation would translate into supportive policies.
Speaking also ,the Founder and Chief Executive Officer of Dalila Dry Port, Ahmed Rabiu, commended the Nichi Mine team for its commitment to solid minerals development.
Rabiu said discussions were ongoing to partner with the company to facilitate seamless exportation of solid minerals while ensuring value addition to the Nigerian economy.
“What we have seen is dedication, commitment and strong backing from their Korean partners, who have invested significant resources to explore opportunities in Nigeria’s solid minerals industry,” he said.
