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Nigeria extends miners' tax holiday

The Nigerian government has offered to extend its tax holiday for miners from three to five years, alongside a waiver on imported mining equipment, in a bid to accelerate development in the otherwise oil and gas-reliant West African nation.
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Construction work is being carried out on Thor Exploration's Segilola gold development in Nigeria

Staff reporter

Olamilekan Adegbite, Nigeria's mines and steel development minister, announced the measures on Monday at the virtually-held Nigeria Mining Week.

Adegbite previously proposed a three-year tax holiday, saying in January the nation was preparing to move into a new era of mining development as the country's biggest industry, oil and gas, begins to flag.

Nigeria's efforts to woo miners has so far yielded one promising result: Thor Exploration has been awarded a mining lease and is moving into the development stage of what would be Nigeria's first new mine in several decades. Thor's fully-funded Segilola gold development is due to start production in 2021.

Other ongoing mining activities include African Industries Group of Companies, which plans to set up a US$600 million steel plant in Kaduna state, and Kogi Iron, which is looking to develop an integrated steel plant using a company-leased iron ore deposit on the Agbaja Plateau in Kogi State.