This policy research report presents a comprehensive, data-driven assessment of Nigeria’s underperforming solid mineral sector, with a targeted focus on three resource-rich states—Ebonyi, Ekiti, and Taraba. Commissioned by Centre LSD under its "Strengthening Civic Engagement and Advocacy for Effective Natural Resource Governance" project and supported by OSIWA, the study aims to illuminate governance gaps, policy inefficiencies, environmental neglect, and missed economic opportunities in the solid mineral industry.

The report identifies significant regulatory and fiscal challenges: a fragmented licensing system, weak institutional enforcement, overlapping fees from multiple government layers, and widespread informal mining. Fieldwork in 14 local government areas uncovered extensive underreporting, smuggling, poor environmental compliance, and the marginalization of host communities, despite existing Community Development Agreements (CDAs), which are either nonexistent or poorly implemented.

Women and children remain vulnerable, often drawn into artisanal mining with limited protections. Meanwhile, state governments struggle to benefit from the 13% derivation principle due to poor coordination, weak infrastructure, and unclear roles in a federally dominated mining regime.

The report proposes policy reforms to improve revenue tracking, formalize artisanal mining, build state-level capacity, and establish buying centers to curb smuggling. It advocates for a more integrated governance model that enables subnational actors to promote sustainable mining practices and socio-economic benefits for local communities.

This research is an essential resource for policymakers, investors, CSOs, and development partners looking to transform Nigeria’s mining sector from a liability into a pillar of national and regional economic diversification.