Ogun state has scored a major feat as the location of the country’s first gold refinery. The refinery is developed by Kian Smith Trade & Co Ltd. (“Kian Smith”), an indigenous company in Mowe, Ogun State, with plan to commence commercial production before the end of first half of 2019.
Speaking at the ground breaking ceremony which was held on Thursday, December 13, Nere Teriba, Vice Chairman of Kian Smith disclosed that the refinery will start with a production capacity of 3 tonnes per month of 99.99% gold and 1 ton per month production of 99.99% silver.
Teriba said, “We will be supplying the Central Bank, the Jewellery and the Electronic Industry. We have already secured a significant monthly supply of gold from Zamfara, Kebbi, Kwara, Niger, Kaduna, Ibadan, Ile-Ife, Ilesha and about 100kg per month from other parts of Africa. We are presently finalizing supply agreements and terms from suppliers in Kano. Next week, we will be securing supply from Kogi State.
“The refinery when completed will provide more than 500,000 jobs in two years as it continues to support its suppliers in their bid to become registered business entities in the mining sector.
There’s at presently at least 1,000,000 unregistered business participants in the Nigerian market (considering gold miners, sponsors, dealers, processors, aggregators and gold-workers).
“ The formalization, organization and development we bring to the value chain will provide quick wins to the Nigerian economy,” Teriba said.
In his remark at the ceremony, Minister of State for Mines and Steel Development Hon. Abubakar Bawa Bwari said, “The present administration is determined to develop the mining sector to act as a catalyst for sustainable economic growth of the country.
“Part of our marching orders in the Mines and Stell Development ministry is that we are expected to develop the sector to increase its contribution to the nation’s GDP, improve its capacity to create jobs and engender sustainable mining,” the minister added, stressing that it was in keeping with his ministry’s mandate that a roadmap was developed for the growth and development of the mining sector.
“During the focus labs of the Economic Recovery and Growth Plan (ERGP) of this administration, we discovered that a well organised gold value chain can trigger an economic revolution like it did in India, South Africa, Switzerland and others. The ministry has continued to develop a gold value chain for the country.
The Ogun State Governor, Ibikunle Amosu, who was represented at the occasion by Mrs Adepeju Adebajo, Commissioner for Agriculture, said that the refinery project was in line with the state government’s industrialization plan.
She said, “The refinery project is a major boost to the Nigerian mining sector. Apart from the fact that the strengthening of our mining industry will reduce importation of refined products, it will go a long way in affirming our country’s status as a world mining power.”
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