Despite Nigeria’s vast lithium reserves, foreign—mostly Chinese—companies dominate extraction and processing, while local investors struggle to participate due to low capacity, poor funding, and lack of policy support.
Nigeria’s abundant lithium deposits, valued at over $34 billion, remain largely untapped by local investors as foreign—mainly Chinese—companies dominate the country’s burgeoning lithium mining industry, estimated globally at $92 billion annually.
Industry experts told Vanguard that foreign interests, particularly China-led firms, control over 70 per cent of Nigeria’s proven reserves across Nasarawa, Kaduna, Niger, and other North-Central states. Avatar and Ganfeng, two major Chinese firms, have established large processing plants in Nasarawa State, exporting lithium to electric vehicle battery manufacturers in Asia.
Dr. Muda Yusuf, Executive Director, Centre for the Promotion of Private Enterprises, said: “We don’t have domestic investors in that space because we lack capacity and awareness. Some investment has to be upfront, possibly by government itself.” He also cited insecurity and poor geological data as barriers to local investment.
Miners Association of Nigeria President, ‘Dele Ayanleke, warned against allowing foreign ownership of lithium mines, stressing that “government should provide incentives for local investors and de-risk the sector.”
Nasarawa Governor’s aide, Samuel Agya, highlighted the state’s lead role in lithium-friendly policies, while the Federal Ministry of Solid Minerals confirmed “no specific policy on lithium,” treating it as any other mineral.
Experts urge government support and private-sector participation to ensure Nigeria benefits fully from the global energy transition.