The Federal Government has ordered all mining and quarrying companies operating in Nigeria to conclude their Community Development Agreements (CDAs) with host communities by December 31, 2025, or risk stiff sanctions, including licence revocation.
The Minister of Solid Minerals Development, Dele Alake, issued the directive in Abuja on Thursday through a statement by his Special Assistant on Media, Segun Tomori, following a compliance review by the Mines Environmental Compliance Department (MEC).
Alake expressed concern over the widening gap between mineral titles issued and the number of CDAs signed, describing the situation as “alarming and unacceptable.”
He revealed that while 74 new mineral titles were issued in the first half of 2025, only 24 CDAs were signed. Similarly, between 2023 and 2024, a total of 2,342 mineral titles were granted—including 1,688 small-scale licences, 589 quarry licences, and 65 mining leases—yet only 342 CDAs were concluded.
“Under our watch, responsible mining, marked by compliance with international environmental, social and governance standards, shall be the rule. Companies cannot mine without first negotiating with host communities on projects and programmes that will improve their lives,” Alake said.
The minister warned that defaulters risked not only losing their licences but also being compelled to pay reparations for minerals already extracted without fulfilling legal obligations.
He further cautioned traditional rulers and community leaders against sabotaging negotiations by demanding personal gifts or recommending contractors who deliver substandard projects.
“Refusal to protect the Nigerian people by agreeing on what communities should benefit from mineral exploitation is criminal expropriation and an unpardonable injustice,” he declared.
Alake advised communities to set up negotiation teams, including retired professionals, to secure legacy projects in areas such as youth empowerment, women development, and infrastructure.
The minister also commended the MEC Director, Vivian Okono, for shutting down three non-compliant companies — Istanbul, Venus, and Cornerstone — in August for delaying CDA negotiations.
“That action is a clear signal to others: it is no longer business as usual,” he warned.
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