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UniJos buys govt’s mining firm for N45m

By naec
In Solid Minerals
Dec 27th, 2017

The University of Jos will buy the Naraguta Bricks and Clay Company – a subsidiary of the Federal Government-owned Nigerian Mining Corporation, NMC – for about N45 million.

This is one of the transactions approved recently by the National Council on Privatisation, NCP, an arrangement under which four other subsidiaries of the NMC would be sold to the private sector.

A statement by the Bureau of Public Enterprises, BPE, said the four companies include Maiduguri Bricks and Clay Company to be sold to Gargam International Services Ltd for N63 million, NIMCO Terrazzo Company Limited to be sold to Alheri (JJ) Nigeria Limited at about N15.3 million; Gano Quarry to A.A Y International Mining Company Limited at about N21.7million, and Kujama Quarry to Yusuf Mariri Trading Company Limited at about N20.55 million.

BPE spokesperson, Mr. Chuma Nwokoh, said in the statement that the Technical Committee of the NCP had opened the financial bids of the pre-qualified prospective core investors for these enterprises at a public ceremony held at the BPE Conference Room on October 24, 2017.

The NCP, which is chaired by Vice President Yemi Osinbajo, had noted that the move to privatise the remaining subsidiary companies was vital, as the plant and equipment had outlived their economic life as a result of incessant vandalism and theft over the years.

“The 23 subsidiaries of the NMC had ceased operations since the late 1980s, resulting in their closure, with staff disengaged in 2004 by the Ministry of Mines and Steel Development,” Nwokoh said.

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