Japaul Gold and Ventures Plc, a new brand name from the defunct Japaul Oil and Maritime Services Plc, has signed an agreement with Xiang Hui International Mining Company Nigeria to drill, mine, and process gold in the country.
At the signing ceremony which held in Lagos, Mr. Jegede Paul, the Group Chairman of Japaul Gold and Ventures Plc, revealed that the newly signed agreement avails the Chinese company officials to work on its sites situated in Benue, Taraba, Osun and Niger states.
The Japaul Group Chairman disclosed that his company had been drilling gold and other mineral resources under the supervision of a Canadian company.
He added that the Xiang Hui International Mining Company Nigeria will commence work with immediate effect as all regulatory requirements by the government have been met. The mining activities will take place on the company’s 12 sites located across the country.
He mentioned that while drilling could take more than a year, mining will commence after that.
Revealing the funding that will go into the project, the Japaul Group Chairman stated that, ‘Each drilling costs $3 million or $12 million investments in all.’
Having been assured by its consultants, the Chairman expressed a great level of optimism with the sustainability of the project.
In adherence to the law that guides and support indigenous/local project allocation and execution, Japaul stressed that the company has employed Nigerian geologists and mining engineers.
In his words, ‘If we need 100 skilled workers, 20 per cent would be Nigerians. That is what the law says.’
Hajia Hauwa Ibrahim, Director, H & H Mines Limited, described the deal as the biggest in the industry and that its eventual turnover is likely to be much higher.
She also added that the company operating at full capacity would engage close to 1, 500 workers on each site with an estimate of about 200 Chinese experts.