Nigeria is set to join the global race for electric vehicle production as it inaugurates its first lithium battery factory in Nasarawa State. The $250 million project, funded by China’s Ganfeng Lithium Industry Limited, is expected to create thousands of jobs and enhance the country’s industrial development.
The groundbreaking ceremony of the factory, which will have an annual processing capacity of 4.5 million tons of lithium, was attended by the Minister of Solid Minerals Development, Dele Alake, and the Nasarawa State Governor, Abdullahi Sule, on Thursday.
Alake said the project aligned with President Bola Tinubu’s vision of diversifying the economy and adding value to the nation’s abundant mineral resources. He said the era of exporting raw materials was over and urged other investors to follow suit.
“I want to emphasize the fact that the era of exporting raw solid minerals from Nigeria is over. To further demonstrate our seriousness to stop the illegal export of our solid minerals, we are collaborating with the Customs to detect both major and minor raw materials from the ports,” he said.
He also assured the firm of the Federal Government’s support and commended the governor for facilitating the project.
Sule expressed his delight at realizing his dream and said the factory would boost the state’s revenue and provide employment opportunities for the youths.
“I strongly believe that with the construction of the lithium factory here in Nasarawa State, more Chinese stakeholders will invest in Nigeria, which would help boost the nation’s economy,” he said.
Lithium is a metallic mineral used to make batteries for electric vehicles, mobile phones, computers, and other electronics. It is considered a strategic resource in the global energy transition and has attracted increasing demand and investment in recent years.
According to a report by BloombergNEF, global sales of electric vehicles are expected to reach 41 million by 2030, accounting for 28% of total passenger car sales. This will require a massive increase in battery production and lithium supply.
Nigeria has an estimated 3 billion tons of lithium reserves, mostly in Nasarawa, Kaduna and Niger states. The country also has other minerals, such as tin, niobium, tantalum, and uranium, that can be used in battery manufacturing.
Establishing the lithium battery factory is a milestone for Nigeria’s industrialization and a step towards reducing its dependence on oil exports. It is also hoped to stimulate innovation and research in the renewable energy sector and foster collaboration with other countries.
The Guardian Nigeria
