By: Business day

Kaduna State has launched a major $150 million Green Mining Investment Fund to accelerate the exploration of critical minerals and position itself as Nigeria's premier destination for global mining investment. The fund was announced on the sidelines of the G20 Summit in Johannesburg, where the Kaduna State Government signed a Memorandum of Understanding (MoU) with the international advisory firm Core International. This strategic move aligns the state's ambitions with global efforts to secure critical mineral supply chains.

The primary objective of the fund is to address a critical barrier in Nigeria's mining sector: the chronic shortage of early-stage, risk-tolerant financing. This type of capital is essential for moving mineral assets from initial discovery to the "bankable project" stage, where they can attract large-scale development investment. The fund is specifically designed as a private sector-led platform to co-finance drilling, resource definition, and initial project preparation.

The fund will focus on minerals vital to the global energy transition, with a particular emphasis on lithium, rare earth elements (REEs), and gold. By targeting these high-demand resources, Kaduna aims to tap into a rapidly growing global market and establish itself as a key supplier. The partnership with Core International and the Kaduna Mining Development Company (KMDC) will structure the fund and secure anchor capital, with a firm goal of making it operational by the end of the first quarter of 2026.

State officials emphasized that the fund represents a strategic shift from merely having mineral potential to actively creating value. The managing director of KMDC, Shuaibu Kabir Bello, stated that the state's commitment of capital signals to global investors that Kaduna is willing to share exploration risk, provide reliable data, and build a transparent and modern mining sector.

The signing at the G20 Summit was an intentional act to position Kaduna within a global context. Core International's managing partner, Suleiman Zakari, described the fund as a "secure bridge for global capital," designed to meet international standards for governance and transparency. This sends a strong message that Kaduna is an organized and investment-grade jurisdiction ready for serious partners.

The launch of this fund is the final component of Governor Uba Sani’s State Exploration Acceleration Programme. This comprehensive initiative also includes generating geological data, streamlining regulations, and creating investor support systems. Together, these measures aim to present a fully de-risked and integrated investment environment, which is rare in Nigeria's mining landscape.

Ultimately, by providing both crucial data and co-investment capital, Kaduna State aims to significantly shorten project development timelines, attract strategic mining companies, and unlock billions of dollars in future investment. This proactive approach positions Kaduna as a frontier jurisdiction capable of supplying the critical minerals needed for the global energy transition while offering investors clarity, partnership, and reduced risk.