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By Tracy Moses
The Federal Government has accused the Northern Elders Forum (NEF) of spreading misinformation over claims that a gold refinery was sited in Lagos in violation of the federal character principle, insisting that the project in question is not government-owned. The allegation sparked public debate over equity in the distribution of national projects, coming amid renewed attention on the FG’s reforms in the solid minerals sector and its drive to diversify the economy away from oil dependence.
In a statement dated January 18, 2026, and signed by Segun Tomori, Special Assistant on Media to the Minister of Solid Minerals Development, the Ministry of Solid Minerals Development (MSMD) dismissed the claim as misleading and mischievous, stressing that the Lagos gold refinery is a purely private-sector initiative.
According to the ministry, the refinery was developed by Kian Smith, a mining company focused on strengthening Nigeria’s local gold value chain, and not by the government as suggested by the NEF.
The MSMD clarified that the Minister of Solid Minerals Development, Dr. Dele Alake, never stated or implied that the FG owned, established, or sited a gold refinery in Lagos or any other part of the country. “Dr. Alake was explicit that the refinery is privately owned, and that several other gold refineries are currently being developed across the country by private investors based on commercial viability and market considerations,” the statement said.
The ministry explained that the Lagos refinery aligns with the FG’s Value Addition Policy, introduced two years ago to discourage the export of raw minerals and promote local processing and manufacturing as a means of boosting industrialisation and job creation.
The policy has already attracted substantial private investments, including a $600 million lithium processing plant in Nasarawa State, a $400 million rare earth minerals plant also in Nasarawa, and a $200 million ASBA lithium plant in Abuja, projects expected to generate thousands of direct and indirect jobs.
The MSMD added that the government merely congratulated the founder and Managing Director of Kian Smith, Mrs. Nere Emiko, for successfully delivering the Lagos refinery after years of perseverance, enterprise, and leadership, describing it as a milestone in Nigeria’s mining value chain.
Expressing disappointment at the NEF’s position, the ministry questioned how the FG could compel a private company to locate its operations in a particular region. “It is unclear how the government is expected to direct the siting of a privately owned facility, as such decisions are driven by business realities, infrastructure, logistics, and market considerations,” the statement said.
The ministry warned that spreading misinformation on sensitive national issues could fuel unnecessary mistrust and tension, urging individuals and groups to exercise due diligence before making public pronouncements.
It reaffirmed its commitment to transparency and inclusive growth, saying it remains focused on creating an enabling environment for private-sector participation in the mining industry while calling on stakeholders, including the NEF, to support President Bola Ahmed Tinubu in building a stronger, more self-reliant Nigerian economy.