Zamfara gold becomes the new bride

In spite of the ban on mining activities in Zamfara State by the Federal Government, illegal mining activities have continued in the state, which has brewed into controversy with the recent announcement by the state government on generating N5bn from the sale of gold.

Governor Bello Muhammad Matawalle’s recent disclosure that the Central Bank of Nigeria would give the Zamfara State government N5bn to supply gold to the apex bank generated uproar from some quarters, especially the southern part of the country, with many of them saying the state government shouldn’t claim the gold resource because it belongs to the federal government.

However, the Special Adviser to Governor Matawalle on Public Enlightenment, Media and Communication Mr Zailani Bappa, said people making such comments are ignorant about what the deal is all

about.

“Zamfara State government is not claiming that the gold deposit is its own because it is in the exclusive list. The Federal Government is in the process of registering miners to mine the gold on its behalf. The state government is buying the gold from those miners like every other buyer and the government’s partnership with the CBN is about anchor borrower scheme.

“The partnership with the CBN is that there is issue of developing agriculture and mining in the state and the Apex Bank is putting in money to develop the mining sector in the state.

“The bank would be recouping what it invested by collecting gold from the state government. People should understand that the state government and the CBN is not in any gold trading. In fact, the bank is not buying the gold and we are not selling it to them,” Bappa told Daily Trust Saturday.

Last year, the Federal Government banned mining activities in Zamfara State as part of measures to improve the security situation in the state that was plagued by armed banditry and cattle rustling. The ban sparked outrage among artisanal miners who argued that they depend on mining for a living.

Despite the ban, many illegal mining sites across the state continued to flourish. The sites have become hot spots for miners from within and even outside the country. Dozens of able-bodied youths besiege such sites daily in search of gold.

There is no end to the beehive of activities in the mining sites despite attacks on such sites by suspected armed bandits. In November 2016, more than 40 miners were killed by armed men in an attack on Bindin mining site in Maru Local Government Area of the state.

Mini markets were created at the mining sites, even as other economic activities thrive. Traders, including shop, kiosk owners, and even food vendors, are found there. Some miners would spend days digging in their pits.

According to a resident, Murtala Kawaye, more than 10 illegal mining sites are flourishing in villages like Kawaye, Mai Galma, Bagega, Dadin Kowa, Duhuwa, Duza and Tungar Daji, all in Anka local government Area.

“Among the mining fields, the prominent, most populated and busiest ones are those in Kawaye, Duza and Mai Galma. And they are mostly the main target of the armed bandits,” he added.

He further said the residents of such sites make a lot of money from the mining activities.

Kawaye said it would be very difficult for the miners to stop their activities despite the risk of getting buried alive by the underground tunnels, getting attacked or even killed by invading gunmen.

Checks by our reporter further revealed that the youths are making brisk business from the mining. There is a ready market for the gold because dealers from neighbouring countries also flood the mining sites.

“The miners don’t need to go to Gusau to sell the gold. It is marketed right at the mining field. The gold dealers collect the stones, weigh them and then effect payment to the owners immediately.”

A miner who craved anonymity told Daily Trust Saturday that he vacated the mining sites shortly after authorities announced ban on all mining activities in the state.

“I obtained the exploration licenses from the Federal Ministry of Mining and Zamfara State ministry of commerce and industry. Afterwards, I looked for investors. That was what gave birth to my mining processing company,” he said.

He further explained that his emirate is trying hard to avoid accidents and casualties at his mining sites, adding that they instructed the miners not to dig deeper beneath the earth crust.

“There is a certain depth beyond which the miners can not go. We have brought excavators to expand the mining pits so as to minimise the rate of accidents at the sites. And all necessary safety gears were provided for them,” he added.

On the infiltration of illegal miners, he said 50 percent of the youths in the rural communities are jobless and have found the illegal mining activities as a way to survive.

“Despite the fact that they are allowed to mine gold, we are still monitoring and checking their activities, this is because stopping the youths from going to the gold mines would amount to inviting other societal ills like thefts,” he added.

Another business man and miner, Alhaji Shamsuddeen Sani Dahiru, is the Managing Director of a mining firm called Metro-Bright Merchants situated at Sauna in Talata Mafara Local Government Area of the state.

He said the exploration license was given to him by the Mining Cadastre Office, Federal Ministry of Mines and Solid Minerals Development in 2017 and renewed in 2020.

“One thing I want the people to understand is that the site in question is very rich in gold deposit. The gold deposit there is in high quantity,” he said.

Last July, Sani Dahiru and the sole administrator of Talata Mafara Local Government Area, Alhaji Abubakar Musa, had locked horn over ownership of a very rich gold mining field in Talata Mafara.

He accused the sole administrator of forcibly taking over the site from him despite the valid documents he obtained from relevant authorities. The sole administrator however denied the allegations.

The arrest of two illegal Chinese miners last April had brought to the fore the assertion of many players in the mining sector in Zamfara State that foreigners have flooded the mining sites in the state.

Sources told Daily Trust Saturday that foreign miners especially Chinese and Burkinabes have been engaged in illegal mining in Zamfara for a long time.

“Of course, many of them have deserted the mining field following the federal government’s ban on mining but some still stayed put despite the ban.

“You will find some of them in mining fields like Duza in Anka LGA or Kwali in Bukuyyum or many other goldmines in Maru and Maradun local government areas,” a source familiar with the situation told our reporter.

“I think they have an extensive network of miners and they do it in collaboration with other foreign nationals, especially the Burkinabes. Those from Burkinafaso are more in number than other foreigners here.

“The Chinese rented an apartment here in Nasarawa town where they keep their equipment and/or stay for sometimes in the course of their business,” he added.

However, Governor Bello Muhammad Matawalle said his administration has established a gold reserve for Zamfara State.

“This strategic decision is part of the efforts to prop up the economy of the state and guarantee the economic and social wellbeing of our people now and in the future. It is also the first of its kind by any state in the federation.

“For a start, we have purchased 31kg of gold, wholly mined and refined by our artisanal miners. We will subsequently continue to buy gold from our local miners so as to gradually improve the reserve. The precious metal would be deposited in a bank.

“Even though our state like other states of the federation is grappling with competing demands from the public and the resources at our disposal are meagre, we feel it is of utmost significance to invest in the future of our people,” Matawalle said.

He further explained that the recent collapse of the oil market has shown the need to diversify state’s economy as a measure of safeguarding it from the uncertainties of the market.

“The establishment of the gold reserve, therefore, is part of the relentless efforts by my administration to diversify the state’s economy by exploring all potentials of the state and maximally utilizing them for the benefit of both the present and future generations. It is a novelty which we believe has a better guarantee of returns compared to financial equities such as stocks.

“You may recall that before the onslaught of the COVID-19 pandemic, I participated in the Africa Business Roundtable, held on the sidelines of the United Nations General Assembly, in New York, in September 2019. I also visited Russia and China, where I held several fora with prospective investors in the critical sectors of our state’s economy.

“While some of the investors have already started preparations to operate in the state, it is pathetic to note that the pandemic has generally affected the movement of capital and stalled efforts to attract investors. I assure our good people that as soon as the situation improves further, we shall continue with our efforts at attracting the much-needed investments, especially in our mining and agricultural sectors.

“The gold reserve programme of my administration would no doubt have numerous multiplier effects both in the short and long run. Among other things, it will empower our artisanal miners who are often short changed by the merchants who sponsor their operations.

“It will also stem the influx of illegal aliens who sponsor illegal mining activities and reduce the export of the commodity by miscreants who use the proceeds of their exports to buy weapons with which trouble is fomented in some parts of the state,” he added.

The state commissioner of Environment, Mines and Solid Mineral Development, Dr Nurudeen Isah, could not be reached for comment at the time of filing this report.