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By Osasome C.O
Gold Refineries, $600m Lithium Plant Signal Strong Drive for Value Addition
Nigeria is intensifying its bid to become Africa’s leading minerals supply hub. With operational gold refineries and a $600 million lithium processing plant, Nigeria is set to support rising global demand for critical minerals powering the digital and green energy revolutions.
The Minister of Solid Minerals Development, Dr Dele Alake, disclosed that a high-purity gold refinery is already operational in Lagos.
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Three additional gold refineries are at different stages of development. He added that a major lithium processing facility in Nasarawa State is ready for commissioning. The launch would mark a major milestone in Nigeria’s industrial minerals strategy.
Lithium: The Backbone of the Digital Economy
Dr Alake stressed that lithium holds a strategic place in Nigeria’s economic future because it is central to the digital economy and clean-energy transition.
“Lithium is the backbone of the digital economy. It powers the rechargeable batteries that run smartphones, laptops, data centres, electric vehicles and renewable energy storage systems. Without lithium, the modern digital world simply cannot function.”
As demand surges for electric vehicles, AI infrastructure and renewable power systems, lithium has become one of the world’s most sought-after minerals—placing Nigeria in a strong position to emerge as a key supplier to global technology and energy markets.
Expanding Lithium Processing Capacity Across Nigeria
Nigeria is rapidly scaling up its lithium value chain, shifting from raw mineral exports to local processing and manufacturing.
- Kaduna State hosts the country’s first operational lithium processing plant, developed through a joint venture with Ming Xin.
- Nasarawa State is home to the largest facility, backed by partnerships with Chinese firms including Avatar Energy.
- Several additional plants are planned nationwide to transform raw lithium into battery components and energy-storage materials.
According to the minister, these investments will create jobs, stimulate industrial growth and accelerate Nigeria’s transition into the green and digital economy.
Gold Refining and Value Addition Drive Investor Confidence
Beyond lithium, Nigeria’s gold refining push is reshaping the solid minerals sector. With one refinery already operational and three more underway, the country is strengthening its capacity to retain value locally rather than exporting raw gold for processing abroad.
“These projects demonstrate the success of our value-addition policy. They position Nigeria as a strategic partner in the global energy transition and critical minerals supply chain,” Alake said.
Nigeria–Saudi Arabia Talks Target Strategic Minerals Partnership
Dr Alake disclosed these developments during high-level talks with Saudi Arabia’s Minister of Industry and Mineral Resources, Ibrahim Al-Khorayef, ahead of the Future Minerals Forum (FMF) in Riyadh.
He highlighted Nigeria’s vast landmass as being rich in critical minerals and rare earth elements essential to global industries, from digital technologies to renewable energy systems.
The minister identified mineral traceability, Environmental, Social and Governance (ESG) standards, mine remediation and technology transfer as priority areas for bilateral cooperation, noting that transparent traceability systems are key to boosting investor confidence.
Joint Working Group Moves Toward Actionable Agreement
Alake revealed that a Nigeria–Saudi Arabia joint working group, involving the Saudi Chamber of Commerce, has been active for over a year, with its report expected to be presented before the close of the Future Minerals Forum.
In response, Al-Khorayef reaffirmed Saudi Arabia’s support for Nigeria’s ambitions in solid minerals development. He proposed that the working group draft a memorandum of understanding for possible signing on the sidelines of the conference.
Al-Khorayef also encouraged Nigeria to showcase mining investment opportunities to Saudi investors. He urgd the country to adopt advanced mining and processing technologies to accelerate sector growth.
Positioning Nigeria for the Digital and Green Future
With lithium now recognised as a strategic resource for data centres, electric mobility, renewable energy and fintech infrastructure, Nigeria’s growing processing capacity places the country at the heart of the next phase of the global digital economy.
As Dr Alake noted, the country is no longer content with exporting raw minerals. Instead, Nigeria is positioning itself as a manufacturing, processing and innovation hub. A hub that connects Africa’s mineral wealth to the technologies shaping the future of work, energy and connectivity.
