Nigeria’s government is in advanced talks with its sovereign wealth fund and stock exchange to create a $500 million exploration fund and corporate mining bonds to attract investment, its mining minister said. Kayode Fayemi also told Reuters Nigeria had made a “promising” nickel discovery and was looking for investors for a moribund steel plant, part of efforts to reduce reliance on oil exports.
The OPEC member has made boosting the mining sector a priority as a slump in crude sales, which provide 70 percent of government revenues, has pushed Africa’s biggest economy into recession.
“We are looking at a $500 million fund from their side which would primarily focus on exploration,” Fayemi, minister for mining and steel development, said in an interview, referring to the sovereign wealth fund. The ministry was also discussing with the stock market selling “corporate mining bonds” in partnership with mining and other investors. He gave no details or time frame for either project. Read more