Nigeria’s Dele Alake Calls for Regional Energy Hubs to Drive Africa’s Mining Industrialisation

Nigeria’s Minister of Solid Minerals Development, Dele Alake, has urged African nations and the United States to prioritize the development of regional energy hubs as a catalyst for mining-led industrialisation across the continent.

Speaking at the Powering Africa Summit in Washington, D.C., Alake highlighted the need for cross-border collaboration to strengthen supply chains for critical minerals essential to the global energy transition.

Regional Corridors Key to Unlocking Africa’s Mineral Wealth

Alake emphasized the importance of building industrial corridors similar to the Lobito Corridor, which connects mineral-rich regions to global markets.

He proposed expanding such models across Africa, including:

The Lagos–Abidjan corridor spanning Nigeria, Benin, Togo, Ghana, and Côte d’Ivoire

The Walvis Bay Corridor, linking Southern and Central Africa

According to Alake, these corridors could drive infrastructure development, improve energy access, and accelerate regional integration.

“If three to five such corridors are developed in Africa, we would significantly advance industrialisation across the continent,” he said.

Energy Hubs to Power Cross-Border Mining Growth

Alake noted that establishing centralized energy systems—such as nuclear or large-scale power generation—within these corridors could support multiple countries, enabling:

• Local mineral beneficiation
• Technology transfer
• Manufacturing growth
• Cross-border industrialisation

He stressed that reliable energy infrastructure remains a critical bottleneck for Africa’s mining sector.

Nigeria Attracts $2.6 Billion in Mining Investment

Highlighting recent reforms under President Bola Ahmed Tinubu, Alake revealed that Nigeria has attracted over $2.6 billion in foreign direct investment (FDI) into its mining sector within the past two and a half years.

Key reforms include:

• Strengthened regulatory frameworks
• Digitisation of licensing processes
• Improved ease of doing business
• Secure mineral title systems

These measures, he said, have enhanced investor confidence and positioned Nigeria as a competitive mining destination.

Boosting Geological Data and Sector Transparency

The government is also expanding access to internationally certified geological data to support investment decisions and improve transparency in the sector.

This initiative aims to reduce exploration risks and attract both local and international mining companies.

Crackdown on Illegal Mining Strengthens Sector Confidence

Addressing security concerns, Alake pointed to the establishment of Mining Marshals, a special enforcement unit tackling illegal mining activities.

• Over 350 suspected illegal miners have been arrested
• More than 150 cases are currently under prosecution

The crackdown, he said, signals Nigeria’s commitment to sanitising the mining environment.

Investment Incentives to Attract Global Players

Alake reaffirmed Nigeria’s openness to investors while emphasizing compliance with local laws. Key incentives include:

• Tax waivers on imported mining equipment
• Full repatriation of profits (after taxes and royalties)

These policies aim to further boost foreign participation in the sector.

Global Partnerships Critical for Mining Development

Also speaking at the summit, Sarah Whitten of the U.S. Export-Import Bank highlighted the importance of sustainable partnerships.

She noted that while U.S. financial institutions are ready to support mining projects, their role is to catalyse private sector investment.

“If we succeed in unlocking private capital, we have fulfilled our mandate,” she said.

Conclusion

Alake’s call for regional energy hubs and industrial corridors underscores a growing shift toward integrated, cross-border solutions for Africa’s mining sector.

With rising global demand for critical minerals, coordinated infrastructure, energy investment, and policy alignment could position Africa as a key player in the global energy transition.