The Senate Committee on Solid Minerals has commended the Director-General of the Nigeria Mining Cadastre Office (NMCO), Simon Nkom, for the agency’s impressive revenue generation efforts while urging it to further enhance its contributions to support the Federal Government’s fiscal objectives.
Speaking on Thursday during NMCO’s 2025 budget defence session at the National Assembly in Abuja, the Committee Chairman, Senator Ekong Sampson (PDP, Akwa Ibom), applauded the agency’s efficient financial management but emphasized the need for increased revenue to drive President Bola Ahmed Tinubu’s developmental agenda.
“The Mining Cadastre Office has done well in revenue generation, which is commendable,” Senator Sampson stated. “However, as the country looks to diversify its economy, there is a pressing need to ramp up revenue efforts further to strengthen our economy.”
Supporting Economic Diversification
Senator Sampson highlighted the critical role of the solid minerals sector in Nigeria’s economic diversification strategy, stressing the inadequacy of current funding levels for the sector.
“Nigeria must look beyond oil and focus on solid minerals to achieve economic stability. This explains our concerns about the insufficient budgetary allocation to the solid minerals sector,” he said. “As co-travellers in this journey, we must find ways to strengthen the economy through increased focus on this sector.”
The Committee assured NMCO of its support, with Sampson adding, “Your projections deserve encouragement, and we are committed to providing the backing needed to help you achieve your goals.”
NMCO’s Performance and Revenue Milestones
During the session, NMCO DG Simon Nkom presented a performance report, revealing that the agency generated ₦8.2 billion as of October 2024. He highlighted that total revenue from NMCO’s inception to October 2024 stood at ₦36.04 billion, all remitted to the Treasury Single Account (TSA).
Nkom noted that ₦26.23 billion of this amount, representing 75% of the agency’s total earnings, was generated between 2019 (when he assumed office) and October 2024. He also reported a revenue increase of ₦13.19 billion from 2023 to October 2024 alone.
He attributed the growth to reforms in the agency, including enhanced transparency, strict enforcement measures, and the digitization of licensing and revenue collection systems.
Challenges and Future Goals
Despite the achievements, Nkom lamented the ₦1 billion allocation to NMCO in 2024, considering its revenue-generating potential. He called for increased investment in equipment, staff training, and improved operational conditions to sustain and surpass current results in the 2025 fiscal year.
“We are optimistic that with adequate funding and resources, NMCO will exceed its current achievements and contribute significantly to the Federal Government’s diversification agenda,” Nkom stated.
The Senate Committee pledged to provide the necessary support to ensure NMCO fulfills its mandate, reiterating the sector’s strategic importance in reducing Nigeria’s reliance on oil and achieving sustainable economic growth.