In its resolve to diversify its revenue base, the Federal Government is pursuing measures that will culminate in significant additional revenue from the mines and steel sectors.  

The Honourable Minister of Mines and Steel Development, Mrs. Diezani Alison – Madueke made this known during a meeting with officials of NICON Insurance PLC, in her office.

The Minister indicated that “we are hoping that, over the next 4 1/2 to 5 years, we will create a major income revenue scheme from the mines and steel sector for this country”.

The Minister who commended the already existing relationship between the Ministry and NICON Insurance PLC said that their visit was timely, especially since the Ministry was working aggressively at repositioning the mines sector, so as to develop an alternate revenue generating scheme for the nation.

According to the Minister, “It is timely because this is the period in which the Ministry is working aggressively and robustly at rebuilding the projects and programmes of the mines and steel sector, this is one of the non – oil group areas which can actually create an alternate revenue generating stream for Nigeria”.

Mrs. Alison–Madueke, who lauded the existing relationship between NICON Insurance PLC and the Parastatals of the Ministry, said that the existing relationship should extend to other sectors of the mining economy.

She explained that there are a lot of major projects, such as the exploration and exploitation of bitumen, the coal to power project and the mining of a host of mineral resources such as gold, gemstones that could be pursued by credible major investors.

The Minister charged NICON Insurance PLC to develop a strategic framework for credible major investors to access the various insurance packages that are marketed by it.

Earlier in her address, the Group Managing Director, NICON Insurance Plc, Chief Dr. Catherine Okpareke, who led the delegation, said that the purpose of their visit was to seek for more collaboration with the Ministry and its parastatals for the development of insurance products for the mining sector.

She added that NICON Insurance Plc was already in collaboration with some of the parastatals of the Ministry, such as Ajaokuta Steel Company, National Iron Ore Mining Company, Itakpe, and the Nigerian Geological Survey Agency.

The Group Managing Director explained that NICON Insurance Plc,  which started in 1969 as a Government Insurer to insure the assets and liabilities of all of the Government’s Ministries, Departments and Agencies, has a asset base of 50 Billion Naira and shareholder funds of over 65 Billion Naira.

Chief Dr. Okpareke, who decried the lukewarm attitude of the public towards the need to carry appropriate insurance, said that part of the mandate of NICON Insurance Plc. is to sensitize Nigerians on the need for applicable insurance.

She added that NICON Insurance Plc had developed some products such as Building Insurance, which is to be marketed around the country, with a particular emphasis on the state governments.

The Group Managing Director said that officials of both the company and the Ministry would meet at a later date to brainstorm on how to foster the relationship, as necessary to drive the growth of the mining and steel sectors.