Dele Alake, the Minister of Solid Minerals Development, has inaugurated an eight-member committee to investigate the conflict between the Osun State government and Segilola Resources Operating Limited (SROL).
Last week, the minister created a panel to look into the closure of a gold mining company due to allegations of tax evasion and other violations.
In a statement on Wednesday, Alake stressed that sub-national entities do not possess the authority to independently stop mining operations throughout the country, as mining is governed by exclusive federal legislation.
The minister recognized the federal government’s understanding of the unique challenges in the mining sector and reiterated its commitment to collaborating with sub-national authorities.
He pointed out that state governments can seek mining licenses and appoint representatives to the Mineral Resources and Environmental Management Committee (MIREMCO) for oversight of mining activities.
“I want to stress that while mining companies must adhere to all applicable laws and regulations, including tax obligations, environmental standards, and corporate social responsibility (CSR), we firmly believe that sub-national authorities do not have the power to arbitrarily close mining operations,” the statement added.
“Regulation, legislation, and oversight of liquid or solid mineral mining fall exclusively under the federal government.”