Federal Government Inaugurates Probe Panel in Osun/Segilola Mining Dispute

The Minister of Solid Minerals Development, Dr. Dele Alake, has inaugurated a fact-finding committee to address the ongoing dispute between the Osun State Government and Segilola Resources Operating Limited (SROL). The panel was formed following the sealing off of the gold mining company over alleged tax evasion and other infractions.

In a press briefing, Dr. Alake reiterated that mining falls under the exclusive legislative list, meaning only the federal government has the authority to regulate mining activities. He emphasized that while mining companies must comply with all laws, including tax payments, environmental regulations, and corporate social responsibility, state governments cannot unilaterally shut down mining operations.

“Mining of liquid or solid minerals belongs in the exclusive list, within the purview of the Federal Government to regulate, legislate, and direct,” Alake stated.

The minister highlighted the federal government’s willingness to collaborate with state governments through avenues like the Mineral Resources and Environmental Management Committee (MIREMCO). This body, present in all states, includes five members nominated by state governments, providing them with significant involvement in overseeing mining activities.

The fact-finding committee is tasked with identifying the causes of the conflict between the Osun State Government and SROL, reviewing contractual obligations, and evaluating the company’s impact on host communities and the broader Osun State economy. The panel is expected to submit its report within seven days.

In her remarks, the Permanent Secretary of the ministry, Dr. Mary Ogbe, urged states to cooperate with the federal government to avoid disruptions, stressing that such actions could deter foreign investment in the sector.

The Vice-Chairman of the committee, Dr. Dele Oye, representing the Nigeria Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), assured the minister that the panel would carry out its duties with integrity.

The committee includes key representatives from the Ministry of Solid Minerals Development, the Federal Inland Revenue Service (FIRS), and the Nigerian Investment Promotion Commission (NIPC), among others.