- Nigeria’s vast lithium reserves, estimated to be worth over $34 billion, are attracting global demand.
- Data from a global Future Market Insight showed the lithium mining industry has emerged as a cornerstone of the clean energy transition, driven by the skyrocketing demand for lithium-ion batteries.
Nigeria’s vast lithium reserves, estimated to be worth over $34 billion, are attracting global demand. The growing interest in Nigeria’s lithium reserves comes as countries and companies worldwide scramble to secure supplies of the mineral, which is essential for powering the green energy revolution.
“Lithium is topping the charts in terms of interest, and we have seen the springing up of lithium factories in Nigeria already,” Segun Tomori, special assistant on media to Dele Alake, minister of solid minerals development, said.
He noted, “The attention of the international mining industry is focused on lithium because lithium is a critical raw material for the production of solar panels and electric vehicles.”
According to Tomori, the minister inaugurated a lithium factory in 2024. He said so far, two factories have been commissioned, with another currently under construction.
“We did the groundbreaking for another lithium factory in Abuja that would come up this year, so lithium factories are springing up,” he said.
Analysts predict that the global lithium market could grow exponentially over the next decade, driven by the rapid adoption of EVs and renewable energy technologies.
Data from a global Future Market Insight showed the lithium mining industry has emerged as a cornerstone of the clean energy transition, driven by the skyrocketing demand for lithium-ion batteries.
The surge in lithium demand is driven by the EV market, which accounted for over 70 per cent of the global lithium consumption in 2024, according to the India-based research firm.
With countries such as the United States, China, and members of the European Union pushing for net-zero emissions by mid-century, lithium demand is expected to escalate further.
“These batteries power electric vehicles (EVs), renewable energy storage systems, and consumer electronics, making lithium a critical resource for a sustainable future,” the India-based firm further said.
Nigeria can get into an industry still considered mainly on the ground floor. Discoveries of lithium deposits in Plateau, Oyo and Kaduna states allow the country to craft better policies than it did with other minerals like gold.
“Nigeria is sitting on a goldmine or rather a lithium mine,” said Tomiwa Bayo-Ojo, a geologist and mining expert. “With the global demand for lithium skyrocketing, Nigeria has a unique opportunity to leverage its reserves to boost the economy and play a significant role in the global energy transition.”
For Nigeria to seamlessly tap into the global market, Bayo-Ojo advised state and federal governments to ensure tailor-made policies.
“The federal government level would need to ease the documentation procedures to attract investors. For instance, the Mining Cadastre Office should create a one-stop shop in partnership with other government agencies to make it easier for investors to obtain mining licences and permits for lithium,” Bayo Ojo said.
In 2024, findings showed global demand for lithium mining reached an impressive $3.9 billion, highlighting its pivotal role in the energy sector. Most of the world’s lithium is produced in four countries: Australia (the world’s largest producer), China, Chile and Argentina.
However, these countries do not produce enough to fulfil the expanding worldwide demand. As a result, the search for lithium has moved to Africa and is already being extensively mined in Zimbabwe (Africa’s largest producer), Namibia, the Democratic Republic of Congo, Mali, and Ghana.
Today, the quest for lithium is gaining traction in Nigeria, with competition becoming increasingly fierce. In Nigeria, lithium is currently mined in Nassarawa, Kogi, Kwara, Ekiti, and Cross River States. In 2018, Kian Smith Trade & Co, a Nigerian mining company, announced the discovery of 15,000 tonnes of commercial lithium in Nigeria.