NIGERIA, U.S. SIGN MINING FRAMEWORK AS $700BN MINERAL POTENTIAL DRAWS INVESTORS

Nigeria and the United States have signed a mining cooperation framework aimed at expanding investment in mineral exploration, processing, infrastructure, technology and skills development. Signed on September 24, the agreement comes as Nigeria seeks to attract more investment into its solid minerals sector and reduce dependence on oil.

Nigeria has deposits of lithium, gold, tin, iron ore and limestone, with government estimates putting the country's mineral potential at about $700 billion. The framework places emphasis on local processing and value addition, rather than simply exporting raw minerals.

Growing global demand for lithium and other critical minerals used in batteries, electric vehicles and renewable energy has also increased interest in Nigeria's mining sector. Chinese companies are already involved in Nigeria's lithium and mining industry, including exploration, mining and processing.

The push for greater local processing could create further opportunities in mining equipment, mineral processing, power, transport infrastructure and industrial development. However, major investment will depend on improved power supply, roads, logistics, financing and processing infrastructure.

Details of specific projects and investment amounts under the Nigeria-U.S. framework have yet to be announced.