The Federal Ministry of Mines and Mineral Development has instructed that the Obuh mine, located in Okpella, Edo State be shut down. Edo State Governor, Godwin Obaseki disclosed this while meeting with members of the Okpella community at the Government House. The mine had been a source of contention between Dangote Industries and BUA Cement
There are multiple claims and they have all gone to court. We have a letter from the Federal Ministry of Mines and Minerals Development instructing that the party currently mining that particular site should vacate it, pending the outcome of the decision in court.
Prior to this
BUA Group had accused Dangote Industries of using armed personnel to take over the site and illegally mining. The company also accused the Ministry of Mines and Steel of frustrating its operations and had written to the Presidency, seeking its intervention.
Dangote Industries, in its defence had claimed BUA Group was illegally mining on a site it had made all the required payments for. Edwin Devakumar, Group Executive Director of Dangote Industries, at a press conference had stated the conglomerate had acquired Mining Lease No. 2541 from AICO Ado Ibrahim & Company Limited sometime in 2014. The ministry in 2016 give all necessary approvals regarding the transfer of the mining title from AICO Ado Ibrahim to Dangote Industries.
BUA Group started business in 1988 as a Private Limited Liability Company specializing in the importation and marketing of iron & steel, agricultural and industrial chemicals. Since then it has rapidly developed into a fully-fledged, diversified business with a stake in a wide range of business sectors.
The Dangote group was established in May 1981 as a trading business with an initial focus on cement, but has since diversified over time into various sectors of the economy including port operations, road construction, salt refining and sugar refining. The group is one of the largest conglomerates in West Africa.