Nigeria’s solid minerals sector offers immense opportunities for domestic and international investors. With over 40 commercially viable minerals across the country, the potential for trading in gold, lithium, lead, zinc, tantalite, and other resources is enormous. However, to operate legally and efficiently in this space, mineral traders must obtain the right licences and approvals from the relevant government authorities.
This article outlines the essential geological and regulatory licences you need to trade minerals in Nigeria, ensuring full legal compliance and operational efficiency.
Purpose: Allows companies or individuals to legally purchase minerals from licensed miners and trade them within or outside Nigeria.
Issued by: Mining Cadastre Office (MCO), under the Federal Ministry of Solid Minerals Development.
Key Requirements:
Corporate Affairs Commission (CAC) certificate
Tax Identification Number (TIN) and tax clearance
Evidence of a physical buying centre
Site inspection by ministry officials
Business plan detailing mineral sourcing and trading strategy
Environmental and health safety documentation
Why It Matters: This is the foundational licence for mineral trading in Nigeria, granting authority to buy directly from miners or other licensed dealers.
Purpose: Enables exporters to ship solid minerals out of Nigeria legally.
Issued by: Ministry of Solid Minerals Development in collaboration with the Nigerian Export Promotion Council (NEPC) and Customs.
Key Requirements:
Valid Buying Centre Licence
NEPC Exporter’s Certificate
Bank documentation (e.g., Form NXP)
Pre-shipment inspection report
Laboratory analysis and assay results
Evidence of tax compliance
Why It Matters: Without this permit, mineral exports are considered illegal. It is critical for exporters engaging in the international trade of Nigerian minerals.
Purpose: Mandatory for all companies or individuals wishing to export non-oil commodities, including minerals.
Issued by: Nigerian Export Promotion Council (NEPC)
Key Requirements:
CAC certificate
Business profile
Application fee
Functional corporate office address
Why It Matters: Acts as the foundation for any legal export business in Nigeria. Required to obtain Form NXP from commercial banks.
Purpose: Enables individuals or companies to operate as mineral dealers, facilitating sales between producers and end-buyers without necessarily maintaining a buying centre.
Issued by: Ministry of Solid Minerals Development
Key Requirements:
Corporate documentation (CAC, TIN, Tax Clearance)
Details of trading activities
Location of operational office
Evidence of trading relationships with other licensed entities
Why It Matters: Provides flexibility for traders who operate without owning a mining site or buying centre.
Grants rights to explore and survey for minerals over a designated area. Valid for 3 years (renewable).
For those who want to develop a site and mine directly. Valid for 5 years (renewable), suitable for localised operations.
Required for extracting construction materials like granite, laterite, sand, or limestone.
These are optional unless you're sourcing minerals from your own site.
To operate smoothly, traders may also need:
Environmental Impact Assessment (EIA) – For buying centres or export facilities
Form NXP – For every mineral shipment
Pre-shipment Inspection Certificate – From approved agencies (SGS, Cobalt Blue, etc.)
Customs Export Clearance – At point of departure
Register Your Business: Incorporate with the CAC and obtain a TIN from FIRS.
Apply to the Mining Cadastre Office: Submit an application for a Buying Centre Licence or Trading Licence.
Register with NEPC: Obtain your Exporter Certificate online or at the NEPC office.
Submit Documents for Export Permit: Once licensed, apply for a Mineral Export Permit, ensuring compliance with Customs and pre-shipment regulations.
Maintain Annual Compliance: Renew licences, file taxes, and submit reports to relevant agencies.
Trading minerals in Nigeria is a lucrative business, but it demands strict adherence to legal and regulatory frameworks. To operate efficiently and attract international buyers or partners, obtaining the right licences—such as the Mineral Buying Centre Licence, Mineral Export Permit, and NEPC Registration—is non-negotiable.
Whether you're a local entrepreneur or a global investor, these licences serve as the gateway to a compliant, profitable, and scalable mineral trading venture in Nigeria.
