NEF Criticizes Federal Govt Over Locating Gold Refinery in Lagos

The Northern Elders Forum (NEF) has openly opposed the federal government’s decision to establish the National Gold Refinery in Lagos State, calling it a violation of constitutional principles on equity and regional balance. In a letter dated January 18, 2026, addressed to President Bola Tinubu and the Federal Executive Council, the NEF argued that the move disregards Nigeria’s federal character and economic fairness, given that the majority of the country’s gold deposits are found in the northern region.

The federal government, however, dismissed the NEF’s claims, stating that the gold refinery project is a private-sector initiative within the mining industry and should not be politicized as a regional issue. The Minister of Solid Minerals Development, Dele Alake, recently announced the launch of a high-purity gold refining plant in Lagos during a meeting with Saudi Arabia’s Industry and Mineral Resources Minister ahead of the Future Minerals Forum in Riyadh. Alake also revealed plans for three additional gold refineries in development across Nigeria, alongside a $600 million lithium processing plant in Nasarawa State.

The NEF’s letter, signed by spokesperson Professor Abubakar Jika Jiddere, emphasized constitutional provisions, including Section 14(3) on federal character, Section 16(1)(b) on equitable economic welfare, and Section 162(2) on derivation rights for resource-bearing regions. The forum argued that concentrating refining infrastructure in Lagos—far from the gold-producing north—undermines regional development and reduces derivation benefits to mere financial compensation rather than tangible industrial growth.

The NEF urged the government to reconsider the refinery’s location, stressing that strategic economic projects should align with principles of inclusivity and structural equality to prevent deepening regional disparities.