Osun Govt, Segilola Firm Face-off : FG Sets Up Committee To Resolve Crises

The Federal Government throught the Minister of Solid Minerals Development, Dele Alake, has inaugurated an eight-man fact-finding committee to look into the face-off between the Osun State government and Thor Explorations Limited, owners of the Segilola Resources Operating Limited (SROL) over taxation and operational matters.

The ad-hoc committee was given seven days to submit its findings to the Minister.

Recall that Osun state government, on September 30, sealed the business premises of SROL, following a court order permitting it to confiscate the company for various flagrant tax violations and other operational matters.

The state government had accused the company of unethical business practices, and tax evasion amounting to approximately $1.9 million.

Inaugurating the committee in Abuja on Wednesday, the Minister directed the committee to spring into action immediately to allow the mining firm to continue its work and forestall further economic consequences of the closure of the mining facility.

The committee is to identify the root causes of the disagreement between the two parties, review the contractual obligations and agreements between the parties to determine whether there have been breaches or misunderstandings and assess the socio-economic, environmental, and legal aspects of the operations carried out by the mining firm.

Alake also directed the committee to evaluate the impact of the company’s operations on the host communities and the wider Osun state economy, propose solutions that will ensure the continuation of mining activities while safeguarding the interests of the state and the affected communities and make any other recommendations that will enable the government to take informed decisions to resolve the lingering dispute between the two parties.

Directing the committee to conduct thorough consultations with the state government, the mining firm, and relevant stakeholders, including local communities, environmental experts, and legal representatives.

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The committee was also charged to review all documents, including contracts, agreements, licens es, and reports related to the activities of the mining firm within the state, investigate the company’s compliance with all relevant mining, environmental, and community development laws and policies and analyze the financial, social, and environmental implications of the ongoing mining activities by the firm.

Alake also mandated the committee to review the grievances of the state government and local communities regarding the company’s activities, including any claims of environmental degradation, inadequate corporate social responsibility, or lack of compliance with agreed terms.

The committee headed by the Ministry’s Director of Mining Inspectorate, Engineer Imam Ganiyu has the National President of the Nigerian Associations of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), Dele Kelvin Oye as the vice chairman while Stephen Dareng will serve as Secretary.

Other members are Dr. Vivian Okono, Mrs. N.C Odili, representatives of the Federal Inland Revenue Service (FIRS) and the Federal Ministry of Labour.