FG Launches Nationwide Crackdown on Oil, Gold Smuggling

The Federal Government has announced a nationwide crackdown on illegal gold mining and mineral smuggling as part of efforts to protect Nigeria’s natural resources and boost non-oil revenue.

The decision was taken at the 153rd National Economic Council (NEC) meeting held Thursday at the Presidential Villa, Abuja, and chaired by Vice President Kashim Shettima.

Briefing journalists after the meeting, Imo State Governor Hope Uzodinma, who chairs the NEC Ad-hoc Committee on Crude Oil Theft Prevention and Control, said the Council had expanded the committee’s mandate to include the fight against illegal mining and mineral smuggling.

“The National Economic Council Ad-hoc Committee on Crude Oil Theft Prevention and Control, which I chair, presented an interim report today. NEC received our report with satisfaction and expanded our Terms of Reference to now take interest in solid minerals, because our solid minerals are being mined and stolen without contributing to national revenue,” Uzodinma stated.

He said the committee would collaborate with the Ministry of Solid Minerals Development, the Nigeria Extractive Industries Transparency Initiative (NEITI), and security agencies to curb gold smuggling, illegal quarrying, and unregulated mineral exports.

“Going forward, our committee, working with other government agencies, will ensure that the nation’s revenue from solid minerals such as gold is protected and not diverted,” he added.

The ad-hoc committee, originally set up in August 2022 under former President Muhammadu Buhari, was reconstituted by President Bola Tinubu in December 2023 to address crude oil theft and pipeline vandalism that had significantly reduced national output.

Nigeria’s oil production had fallen to between 700,000 and 800,000 barrels per day—well below its OPEC quota—causing major foreign exchange shortages.

However, the government’s focus has now expanded to the solid minerals sector, where illicit mining remains a serious concern.

According to NEITI, Nigeria loses more than $9 billion annually to illegal mining and mineral smuggling, particularly in gold, lithium, and other high-value resources.

Unlicensed operations—many controlled by armed groups in the North-West and North-Central regions—have turned illegal mining into a source of funding for criminal networks and cross-border trafficking.

A 2023 NEITI audit found that over 80% of mining activities in Nigeria are informal and unregulated, making enforcement and export tracking extremely difficult.

In response, the Ministry of Solid Minerals Development revoked more than 900 inactive mining licenses in September 2024 and introduced a national gold reserve policy to promote traceability and local beneficiation.

Governor Uzodinma noted that integrating the fight against illegal mining into the national resource protection framework used in the oil sector would help close existing revenue gaps.

“We have done well in addressing crude oil theft,” he said. “Now, with the same coordinated approach, we will extend our efforts to solid minerals to prevent the theft and smuggling of our natural wealth.”

The committee is expected to present its first progress report on the expanded mandate at the next NEC meeting scheduled for November 2025.